"The de minimis safe harbor election does not include amounts paid for inventory and land.

I cannot sell it as-is to a conventional buyer currently because it is a duplex in a single family zone. 

I don't think I know of 1 conventional lender with good reviews.

Warmly, - Adam  FHA mortgage insurance w/ 3.5% down is stuck for the life of the loan, eg you'd need to refi to drop it.There are conventional 3% and 5% down non-FHA options where it drops off once you have the equity without needing to refinance. 

Anthony Dooley What is considered livable for a conventional loan?

That process doesn't work if you buy a nice house with a maximum LTV conventional loan because you've done nothing to increase the value.

Conventional Manufactured 80% LTV/HCLTV/CLTVFHA VA USDA Manufactured.When a manufactured home has an accessory unit (mother in law, granny unit, guest house, etc...) the accessory unit will disqualify the manufactured home for financing.When a manufactured home is the accessory unit it will disqualify the property (technically Fannie / Freddie will allow, but investors do not).Very important -Accessory units are ONLY allowed/accepted, when the property is officially a "single family" property.

The problem is very low inventory.

As per RE Center of Austin, Months inventory for single-unit residential housing declined from 3.6 to 3.5 months supply, and days to sell rose from 95 to 96.

Current rent is $3,100, which may be high with rental inventory growth in the area, I imagine the realistic rent for the home may be closer to $2,800-$2,900.