.- Eyeing areas like Worcester, Shrewsbury, Grafton, and Millbury for a single-family house, priced around $500K, with a planned $100K down payment.

It's been a reliable tool for us, but like any tool, it's crucial to know how to use it properly and not rely on it blindly.I've noticed that many investors tend to use rules of thumb when analyzing properties instead of diving into the specifics of each property.

In this case, however, you have option two: lower the rent or have one or two renters who will help with your payment until it's fully rented.

I'm looking for suggestions, possibly even an equity partner in the deal, and/or a down payment help funding source.

If you're looking to pull all equity out it may not work, but could be an option to explore with a balloon payment and short term. 

DSCR doesn't keep anyone ahead of any potential market dips, likely quite the opposite due to the pre-payment penalty's often associated therein.

“Creative Financing” However, not many people are talking about the additional risks.For example, with seller-financing: the worst case scenario is a buyer doesn’t make payments.

Hey BP, I have seen some people have been asked to give a down payment just to apply for a loan (in the last conversation I had , it was with an investor who needed a commercial loan) How common is this and why is that even asked before the loan has been given, would it apply to the balance eventually? 

Michele, not know how Maine laws work, I can tell you that in Washington State that if they request a payment plan for security deposit payments we must honor it.

How much do they need as a down payment ?