Bob, It depends on the type of loan she has now, but there are some great refi programs out right now, near same rates as income-qualifying ones, but all seem to have different guidelines.

The actuaries know what they're doing and insurance is simply a gamble where the house is going to win all the time.

.- Your debt-to-income ratio should be within FMCC/FNMA guidelines.- A favorable credit history.- Be employed and able to furnish adequate proof of the required income.- Good references, housekeeping, and property maintenance from your previous landlords.- No history of evictions or broken leases.- No criminal background.Is there a clause that I can add to indicate that preference will be given to the most favorable applicant as defined by the above criterion?

I also am told that you use 0% down as a guideline?

Fannie and Freddie guidelines prohibit their buying loans that are made to entities.

I think maybe you want to help her, which is why you're conflicted, but if she is already telling you that by renting to her, you'll be violating your own system that works for you, to me that is a sign to move on to someone who fits more into your guidelines.

I generate this by using the 2% 50% guide lines discussed at length on this site.

Back in the boom, prices were high, appraisals were extremely inflated, and investors that David speaks about leveraged out these properties to a point (I am guessing) where they barely cash flowed, or broke even, gambling heavy on appreciation and principal accumulation.

Fannie Mae guidelines page 223 say that whatever properties are deeded and mortgaged to an S-Corp are exempt from 10 property limit.

For example, if the borrower borrowed the DP, that's fine if that loan has been fully paid off, if not you'll have problems in most cases.Fannie and Freddie underwriting guidelines are on-line, IMO for one to be able to do seller financing correctly (not relying on luck) they need to know the rules of the game, those are the basic requirements that need to be met in the future and then you access the buyer's ability to meet those requirements in the future.