My current internship in Dallas is going very well, and I expect to be back in the city full time in the summer of 2026.

But I want to now purchase a house with the first time housing program, would I be able to?  

Is now a good time to get into the DC market?

it was what I could afford at the time.

I would give it some time for lenders to catch up on this type of property.

@Ella Marie, I can't speak on behalf of your market, but in my respective market, competition is tough, and the successful fix-and-flip vendors are often full-time operating businesses.

if you're W2 and full-time, hourly or salary, you should be able to go off your pay stubs for qualifying.

I do not understand your remark as related to the DSCR loan.  2 ADUs are not allowed by f/f conventional financing but is not always enforced.Fortunately if you stay with the current tenant without a refi, by the time you pay principle it is likely the rent will have increased enough to absorb the increase mortgage payment. 

there are times in every cycle for certain strategies. 

As a lender, I see multiple parties signing a mortgage all the time.