If you like the house and the area and want to live there and its habitable, go ahead and try to get a plain vanilla conventional loan from the local credit union and mortgage broker. 

@Adam Eckhoff curious as to what online S8 "guru" you're following or where you're getting your info about S8?

My question is about how the DTI ratio is calculated when I apply for the second mortgage.

If one house is your only income, you may not even have much to pay taxes on if you have a mortgage.

Houses I am looking at require anywhere between one to $2 million, unless someone wants to get a mortgage.

For all loans, amongst other things, I have a recorded Mortgage/Deed of Trust, Promissory Note, and Personal Guarantee in place.Yesterday, out of nowhere, my bank reached out to me and asked me if my business was regulated. 

Hey guys, I have been learning about REI and in all the bigger pockets it talks about mortgages. 

I would just use online free tools for application, screening and rent collection.

I did not make them aware but included it with all my other documents and would have thought that seeing I had rental income and mortgage expense that they would have noticed or questioned what the cost segregation study was. 

Put effort into getting to know people beyond online forms – that's the key to successful investments is finding other LPs.