If you are going to be an owner-occupant, want a low down payment, and are planning to do a renovation, the FHA 203k and Fannie May Homestyle loans are your best optionsHow do you know the property is currently upside down on the mortgage? 

Quote from @Jarrod Ochsenbein: I purchased an existing Padsplit with a DSCR loan. 

There you will be asked your criteria and then after answering a few questions you will be matched with 3-5 agents or loan officers in your area.

Since you will be renting it out you should get a conventional loan.

We've utilized the VA loan for our current home, and this strategy has worked well so far.

Are LPs entitled to see foreclosure, bank loan related docs?

You may not be able to easily separate that property from the loan to make that happen. 4.

@Jordyn Ohs pay off/down your Heloc aggressively and/or look into DSCR loans for future acquisitions.

Texas does have specific rules regarding home equity loans and cash-out refinancing (often referred to as "Texas Equity Section 50(a)(6)"), but these don’t prohibit homeowners from using funds for investment properties.

The other contractors that I have worked with gave me a full scope with detailed line items of what will be fixed, how much the labor is and how much the material is going to be.