These loans are pretty conservative: 65% LTV, 1.5+ avg debt coverage ratio.

Should I just take that 31000 and put it towards my principle so that I only have to pay the bank back $15000, and eventually be debt free so I can take the money I pay on mortgage every month and invest it?

I wouldn't go into debt on my home to do the deal.

The lender will look at the proforma or historical revenues & expenses of the property and provide a loan that will fall into its guidelines of LTV and the ability of the assets to cover the debt service.

I've got 2 properties currently waiting on financing, plus this 3rd prospect.Verified income, credit scores of 800+/-, all units cash flowing, no personal debt, over six figues in retirement accounts, etc.Countrywide is offering 90% LTV on investor loans, but I'd love to get 100% (or combo some loans to get there).

I.e. does it includes your debt service, taxes, insurance, + the all the other stuff (maint, advertising, vacancies, etc.), or does the 50% rule mean that in addition to your PITI you'll have other expenses that total approximately 50% of your planned rent?

It should not matter but it does eliminate one variable from the equation.

The other revolving debts are consolidated, but the Home Loan still needs to be paid as is.I see the Veto of this Bill.

I also recommend the book cited.If you are sued and the lawyer chooses to move forward they will ask you a series of questions about the debt vs. the equity and your other assets.

I'm really glad to see another younger person involved in real estate and investing.I pretty much have the same situation as you, my mother is supportive, and no one in my school of 2500 students has a clue what any of this is.I'll tell you, from my personal experience, people (most the time) view you as a very driven individual and are impressed.Ive yet to receive a negative experience due to my age.unfortunately, I'm only 15, but my mom is willing to sign my contracts and basically be my business partner.Starting out young is the best thing you can do, you can re-invest many of your profits since you don't have debt or a family to feed.Congratulation's on your investments ($5,000 is pretty decent for 17)and keep learning.