Well I guess that more so would depend on a few different factors such as the condition of the house, rehab costs, the relocation costs, new comps of new neighborhood, any permits that have to be acquired and probably several other factors I'm unaware of. 

When fix n flipping you have unknowns, "fudge factor" you have to account for.

There are a number of different factors at play here.  

I have factored PM into my numbers, it just somehow missed my list.

-you need to consider disposition of asset, exit cap rates and valuation at key points like refi (if that is part of your strategy) and end of loan term Overall, I would say that all of the above needs to be put into a MF underwriting model as there are a lot of factors missing that will blow this investment up (in a bad way).

It is strictly a risk factor.

I am told the basis depreciation recapture isn't a factor in this. 

I'm looking to use a personal line of credit towards a down payment on a rental.If I get a personal line of credit, say $50k, and the repayment on it is 1% principle + interest, what is used to factor into my DTI for the mortgage?  

FHA and VA financing are not the bank's favorite avenues for cash because of multiple factors but primarily because, VA won't allow the buyer to pay for a lot of closing costs and for VA and FHA, they want that property in turn key condition.

To me, that would be the determining factor.