I guess it's back to the big banks stuck in the dark ages, but at least there's numerous branches with marbled columns in the lobbies... unless anyone knows something up-to-date and different? 

It doesn't mean they'll pay it, but remember a few things. 1) you can base your price on supply and demand, and lucky for you they've got but one supplier -- they cannot simply go into the market place and just buy a building.

But I haven't found anyone who has worked with them so I'm unsure how successful and helpful they really are.I've been spending a lot of time "smiling and dialing" to numerous lenders and just haven't had luck finding lenders who will lend to my LLC. 

There are numerous viable alternatives nipping at their heels.It happened to Travel AgentsIt happened to Stock BrokersIt's happening to Insurance BrokersI think you will see it happen in Real Estate listings.Try not to take it personally

However, a city like Dallas has oil exposure but real estate values continue to grow because there are numerous other economic drivers in its diverse economy.I also agree with your view on conservative underwriting.

We have terms on our suppliers, and we do payroll every Wednesday, so a simple fact is, if we get paid before we pay someone, then we can pass savings to you, otherwise if we let you use our money (common in new builds), then our bill/pricing starts to run upwards.

Originally posted by @Amr Omar:Looks like this noob is mixing up Cap Rate with Cash-on-Cash ROI :/ Cash-on-Cash ROI: (500x12) / (15k + 6k + 2.5k) = 25.5% Purchase Cap: (500x12) / 170k = 3.5%  Wouldn't cap rate NOT include P&I in the numerator?

Well after contacting my supplier, we couldn't find out to fit into the wall sleeve.

Be prepared for numerous requests for documents.After the property settles and becomes yours you have 6 months to finish the property.  

I have developed relationships with numerous local lenders and banking executives in the Baton Rouge area by doing exactly what you are doing.