It's probably going to mean paying points at closing, a high rate, and a serious pre-payment penalty (like 5 years). 

However, other factors will matter, and the rates of taxation are different for different components of this Step 3 result.

Gifting equity in a house may be more trouble than it is worth if you are not near the life-time exclusion1) Potentially having to get the property appraised everytime an equity is gifted2) Having a title company update the title every time3) Exemption of the gift tax return is normally for cash gifts below the annual gift tax exclusion, you may still need to file if you gift non-cash4) If there is partial ownership over several years, having to properly pro-rate certain items such as real estate taxes, mortgage interest and rental income if the property is a rentalBest of luck 

Despite the fact that the market has dropped significantly both in rent and price, I still think the market should be considered high risk/high reward.

Once you are an experienced investor and know rental rates and costs you can provide value to clients. 

One other advantage is that many of the builders that I have worked with are able to incentivise the sale with interest rate buydowns that make the deal work.Best of luck moving forward. 

Was fortunate enough to lease for higher than expected rental rates.

The higher rates and no point options hopefully are temporary for you until you are able to show a 2 year history of 1099 income, refinance early in 2026 once you have completed your 2025 returns. 

If I purchased a home locally I’d have to ask well beyond the market rate on rent just to break even.

What’s your success rate with mentees?