While a bank may not be able to count that rentalincome for a conventional mortgage, a local bankor credit union may very well have no problem doing so.Quite honestly, with that income, you should haveno problem getting a local bank to lend on a 300k houseespecially if you're first house's rental payments willcover your PITI.Although even a smaller bank will ding you a little onthe rental income as they will only count 75% of it.But you would be so far ahead of the dti reqs, I don't see any reason why you wouldn't be able to qualify.

3)Should we buy the property through a conventional loan and then moving it under an LLC or other business structure?

He is looking to get $125k out of the purchase to pay off his line of credit, but does not seem interested in carrying a note on the property.I would love to purchase this property and am even considering conventional financing, but I would like to minimize the down payment.

Its a big trust issue and I want to keep close inventory of where the budget stands and where everything is going.

Will it deeply enhance your knowledge, academic intelligence, conventional wisdom and communication skills (to name just a few)?

The downside, as I found out just today, is that my plans to get involved in the off-mls area might be hampered by the fact that there is a lot of competition for deals due to low inventory.

While your heart is obviously in the right place, you need to recognize that you may not be qualified, again, more conventional education.In some cases, non=profit organizations assist folks in default, you might try to volunteer for the experience, then obtain the license requirements and move forward.My suggestions about buying the note may be prudent when you already know the borrower or where they contact you to buy, then you might offer the note purchase arrangement

I am trying to understand more about lending and therefore I believe that if a unit is commercial then you can't receive a conventional loan from the bank.

We have always used conventional lending, but it takes way to long for this and we would like to speed things up.

By "creative" I am not planning on using conventional financing at all, and was thinking of creative ideas for having my stepfather finance the property in a way that still allows for cash flow for him, but gives me access to a small portion of the $275-300k in equity that home so that I can come up with a down payment on another investment property.