No investment properties or summer homes may be purchased with a VA loan.I haven't personally helped a client this product yet, but it would be worth talking to a lender about if you would qualify to purchase the property upfront as your primary residence:A VA borrower is permitted to apply for an Interest Rate Reduction Refinancing Loan or IRRRL, which does not have the same occupancy requirements than a new purchase VA home loan.According to the VA’s official site, “The occupancy requirement for an IRRRL is different from other VA loans.

I don't consider it "debt" necessarily since my cash is sitting as a principal reduction on the line compared to sitting in a savings account earning squat.

Also stress that they will get their full commission, commission reductions (or perceived reductions) are usually why most offers get filed in the trash can. 

The commercial unit is occupied by a hair salon and it needs work, but it’s on a main road in the suburbs and seems to get plenty of business, so I like that it’s already commercially zoned and operating.I work in commercial loan servicing, so I’d get a reduction on the closing costs.

If it is a minor blip tenant will try to get permanent 5 year reduction for example.

How much in potential rent and principal reduction of the mortgage are you giving up during the waiting time?

I check it every few hours for New Listings/Price Reductions/Pending/Closed/Expired....

I would offer the tenants an opportunity to rent and buy the home and maybe a reduction of that sale price which would in a sense recapitalize their rehab cost back to them.

When we have an eviction, commercial tenants have been more collectible than residential.However, in Michigan right now banks are slashing residential notes (70-90% reduction) but as of yet have not discounted commercial notes as drastically (30-50% reduction).

The good news is that the tenant of the 1 BR unit has been there for 19 years, and has no plans of going anywhere soon (the good lord willing); plus he’s willing to barter his handyman skills and pickup truck in exchange for reductions in rent.Any halfway decent REI has probably already figured out that this property is located in the ‘hood, based on the numbers listed above; but that was one of the things that was appealing about this deal to me…the low investment costs associated with this piece of property, as well as the ability to possibly cashflow an amount equal to the house payment (including principal, interest, taxes and ins).