Not only will lenders be effected, but borrower credit, business loans, inventory, and auto credit will suffer when those effected have to relocate, find long term replacement housing and their livelihoods and income are destroyed.

However, appreciation is very low in cheap areas.

I bought this property with a private interest free loan from a friend. the person i bought it from need cash fast so i offered them a low cash offer and they accepted.I had enough money saved up to rehab the house with my savings.

I would tell people today that if you buy a primary residence expect to stay in that home for atleast five years, especially with a FHA loan which has lower down payment as the current forecasts for home appreciation or very low which with closing costs on the buy and sell, it will take several years to have equity in the property and enough to be able to sell, so that is something also to consider.

Can easily get fee worksheets and run credit/DU 3.

What documents do they require, what credit scores do they allow, how do they verify previous rental history, etc.?

With a low 4.75% rate but minimal cash flow ($50–$125/month), your equity could likely work harder elsewhere.

Another work around that isn’t discussed much is working on a strategy with your insurance company to protect your other assets in the event of a claim.But also, it wouldn’t be a bad idea to consider getting the financing into your LLc name with a community bank and pulling cash out if you have substantial equity.Right now, since the loan is in your name, it shows up on your personal credit report.  

Where do you think a rehab is more likely to net the better sweat appreciation the high property value market or the low property value market?  

if they are a great PM 20% is totally fair. not too high and not too low