My contention is that if you're going into it knowing full well that this is just an investment and you have no intention of continuing to live in the house afterwards, you are taking advantage of financing not intended for that use and could be accused of committing mortgage fraud.

You are right on the corner of Hampden which is very loud and busy as you mentioned which will require a significant discount comparing it to an identical house that is even just half a block in from Hampden.

And you can put the property in an entity like an LLC or S Corporation so your identity will remain anonymous. 

The first and most serious: starting out your real estate adventures by committing loan fraud is foolish.

Focus on the behavior not the person/identity.

FHA does check up on these things and you don't want to fend off a charge of mortgage fraud.

Both have identical payments, but the down payment on the ARM is $25K less. 

This guy john sims is a fraud, scam artist and everything else in between.

Well if they dont comply, they will likely lose their license as well as have a huge liability for fraud, both civil and criminal liability, so yes they comply.

It's a duplex in a C class neighborhood.Below are the expenses:Purchase price: $94,000 (conventional financing 25% down w/ 5.375% interest rate)Total Rent: $1,250 (both units are identical 2/1)Taxes: $75Insurance: $8.33Vacancy: $125.00 (10%)Repairs: $63.50 (5%)CapEx: $63.50 (5%)Prop.