Seems like the best case is for non payment of rent. 

@Eddie Smith we've found the two biggest tenant complaints:1) Maintenance expectations not met (taking too long)2) Expectations of communication not metThere are many more complaints, but majority are tenant-caused that they want a free pass on: waiver of Late Fees, Payment Plans to avoid eviction, being allowed to get a pet or otherwise violate their lease with no repercussions.

Had a person refer me over to Daytonloan Acquisition || Your trusted lending partnerSomething seems off but the head guy has sent me references that I am going to follow up with and business documentation. 

Also, the short term rental took all of my capital so down payments will be hard. 

Of course, everyone must do their due diligence and have a team they can trust. 

Is it better to do a smaller down payment compared to 20% to save on interest rates and then take a lump sum to recast the mortgage?

Generally, the lender's lien is secured by a mortgage or a deed of trust. 

I have like $130k in equity on one of my duplexes and I would love to tap in the equity as a down payment along with DSCR loan.

@Joshua Morgan we've found that tenants really don't are about the terms of their lease beyond rent payments. 

I am doing some title research on property in California that is being auctioned by the county due to non-payment of taxes.