This criteria is for 1-4 and 5-8 unit programs.I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23DSCR lenders generally let you vest either individually or as an LLC.

That could include business, law, financial, project management, etc.

For turnkey properties (given your $20k constraint) it may be difficult to break even on cash flow within 2-3 years.

That raise will include prior investors, GP partners investing as LP, and other HNW investors adding $50K to $1M to the raise.

I now have a family including five kids at home so living in half a duplex is not practical. 

Probably cash flow or break even often requires 30-40% down. 

When you buy an entity, you are buying their history, warts, etc. including depreciation.

It cashflows about $500/month - take out PM, now were down to $340, take out repairs ($150/mo), down to 190, take out vacancy etc and it probably does a little better than breaking even.

What I would do if the property were here in PA would be to call them, explain the situation, explain they're breaking the law, explain my recourse in filing a landlord-tenant complaint and the permanent consequences thereof, and go from there.

Zillow has a lot of property data, including from third parties against which it might check that data.