IMO this is much too little additional return to put your personal residence at risk.  

Additionally, the price point is still cheap enough to find the 1% rule and positive cash flow and there's amazing appreciation potential.

After that's under control, focus on increasing income through additional work at your current job, taking on a side hustle, or finding ways to increase income on your existing rental.At the same time, educate yourself.

This doe t mean that the poster is someone in cohorts or a “supporter” of the person, business or methodology you claim defrauded you.Based on my posts in the other thread on the same topic, I have been receiving emails providing additional information purported to show proof of fraud, though I have NO WAY of verifying it.  

Also there is an additional tax on the returns due to the financing. 

We also allow users to amend a post at any time with additional information.We have no plans to change how the forums work as it pertains to the deletion of posts.

This practice also frees up more money for lenders to use to fund additional mortgages.In "non-conforming loan" world, anything goes.

The 50% is rather deep a cut, especially with all the additional operational expenses not included into that 50%.

Unless the borrower is self employed and takes a lot of expenses to show lower income on their returns then it usually makes sense to pay a couple thousand a year in higher interest (you can pay like 4,000 a year in additional interest for DSCR if you are saving 30+k on your tax bill kind of math lol)

At the end of the day; you need more money to do something like this.MAX LTV on new builds is 80% LTC, Meaning if the build is $550,000 and Land is XAdd ($550,000 + x ) * .8 = LOAN AMOUNTYou would need to come in with MINIMUM 20% of the cost in addition to closing costs and reserves, $80,000 is not going to cut it for this project.