I was on the income based repayment program for years at $720/month and they were earning more interest than what I was paying down. 

///////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////CRUNCH THE NUMBERS - How much should I spend/how much could I earn?

It's a great setup and the extra income with little to no maintenance needs adds up quick.

Don’t run from it, negotiate the issue and it may make you some extra cash if it’s not as bad as you plan.

So, I’m going to use the extra money from my loan to cover closing and repair costs (if necessary).

So, I’m going to use the extra money from my loan to cover closing and repair costs (if necessary).

I got licensed as an agent in CT less than a year ago - ultimately to save myself (and even earn) money on deals I pursue! 

Will it be life changing probably not but it will definitely help you save faster, give you extra discretionary spending and if you occupy it while renting out the other half (2 family situation) can give you a HUGE advantage allowing your tenant to pay 1/2 or even 3/4 of your mortgage payment (this is how I got started) over time this can really snowball into something big if you are diligent, patient and choose to keep going...regards,Chris  

Anyways - I have estimated the rehab to cost around 20K-22K when all said and done so I was wondering, what is the best way to finance that extra, lets say, 12K?

Sometimes investment property appraisals tack on an extra $100 or so for the property’s rental income estimation if they are going to count the property’s rental income towards helping you qualify for the loan.