Generally, the spread to account for the higher risk has historically been around 170 basis points (or 1.7%); however, in the last few years, this has ballooned to around 300 basis points (or 3%) amidst lots of volatility.Without delving too much deeper into the math and financial fixed-income calculations, mortgage bonds generally have yields or returns based on the main alternative for note investors, which are U.S.

I have more clients from CA either moving to TX (saving on state income tax) or purchasing rental properties in TX than any other state.The state does come with it's headaches (cash out refinance rules, higher property taxes etc), but there is no dispute in the growth in various cities.

Hi Steve,I am certianly no expert but I believe the P&S agreement on a Sub 2 is not necessarily entirely different to a standard P&S agreement but I have seen Sub 2 versions to have verbiage such as the excerpt in the sample below, in addition to all the other standard clauses/ sections - as with anything, I would suggest you run this past your attorney to confirm it works in your state/ for your needs.

@Alec Bildstein my advise in addition to attending meetups is to read the forums and see who contributes and adds value and find the folks that you resonate with.

They'll take a loan app, pull credit, verify income, and verify the ability to repay.

I now get monthly emails with updates to my home's estimated value, along with metrics such as how much rental income the property could generate.Their pricing algorithm is a blackbox to me, so I can't endorse the product.

Look at fourplexes.I think we now  have Fannie loans (in addition to FHA) that cover owner occupied multi-family!

Or look on the county websites to find additional information about a property.

If you don't have any, then you would need to partner with someone who does.Hope all of that makes sense but feel free to ask anything additional. 

My lender said that we could count 75% of the rental income towards income towards my debt to income ratio.However, I recently came across a 41 unit property near my home town where the numbers may make sense.