It's likely they need to get a certain amount, possibly for a mortgage.

The credit thing should not be an issue for many DSCR folks like myself. 80% ltv may be an option, but,I have seldom found the tradeoff in cost/rate to be worth it in the last 12 months. 0% origination is possible, but, as others have said compensation is received in one fashion or another (higher rate, processing fee, etc.).

Now that house has been rented out for the past two years, and I want to buy another possible duplex or triplex to house hack.

This brings a much greater liability into play, and in my opinion provides greater balance.Is this offering the best “deal” for a passive investors?  

Are they doing everything possible to expose properties to the broadest possible market?

Through the LLC structure it is possible to take advantage of the existing mortgages modified first at 4,125% 22yers and 1%, yes one percent, for 40 years.

Are they doing everything they can to expose properties to the widest possible market?

Give them the projected return, but also be honest about possible downsides.2.

If you just want consistent distributions over the long-haul, you may want a more stable deal with a longer horizon, even though that may mean giving up the 20% return possibility.

I highly suggest as many in-person networking events as possible!