It might make the most sense to just sell your primary residence and use it as 40% to 50% down payment on your future home. 

We would all love to have that note that has 5 years of perfect payments, 800+ credit score and a 20-25% down payment. 

-Interest-only payments, which help manage cash flow during the renovation.

Given the market conditions and your hard money loan, it might be wise to first calculate your monthly holding costs, including loan payments, taxes, and maintenance.

The payment is roughly $260 a month.

The longer term loans would have lowered your monthly payments and decreased the costs.As for rent, each year you need to look at rents in the area to decide how much you will be increasing the rent by. 

The rules and payment standards vary significantly from one area to another, so familiarizing yourself with the local housing authority's procedures is key.

These sellers might be more open to offers to accept payments over time. 

Without this workout, the down payment requirements, current levels of interest rates and cost of the transaction would not be incentivizing enough to for investment. 

These are typically interest only and require a payment of 1-4 points up front depending on your area and the PML.