Ultimately, it comes down to underwriting and the ability for the property, and you, to afford to pay the monthly expense of the loan. 

Quote from @Mario MoralesMorales: what if he got a HELOC, used the funds to get a property, then cashout-refi the new property and pay off the heloc?

Quote from @DR Rearwin: Be aware that if you purchase a property as your principal residence, and later convert it to a rental, the lender may have the option of calling your loan and making you pay it all back immediately, since you have changed the use of the property.I never knew that.

I'm NOW doing Rent-To-Own to sell off my mobile homes.  10K down.  12 years to pay. 

End his lease, and find a tenant willing and able to pay market rate.

Quote from @Micheal Singleton: Hey stl folks, I'm a new investor .

There’s usually not more than one investor with interest in any parcel so there’s is absolutely no incentive for the investor to pay a “wholesaler’s fee” in this scenario.In the scenario where the land is ready for development, and the economic conditions make development a profitable activity, the land owner has already been approached by the developer or multiple parties with offers to purchase.  

Yes, you can go visit Class C & D tenants at their homes to convince them to sign up for auto-pay, but:1) Once you leave they will revert2) Their biggest problem is NSFs! 

That is why a lot builders buy a few of their own homes and pay "all cash" after they are built to establish sold comps and set the market.If you have any questions feel free to reach out it can be tough trying to figure out the first few steps and what is required.

Then for phase 2 you raise $1.6 million and pay off the phase 1 note holders.2.