The interest only payments and rehab funds would allow you to convert the property as desired.

That being said say it takes 2-3 years to move out rents could and likely will be higher and you could potentially refi to a lower payment.

FHA loan with monthly payment including taxes about 7800. the other side would get up to 3200.

I am thinking about using gap funding for the down payment on my first rental property as a buy-and-hold investor.

And we have "Property Rules" which are an addendum to the rental agreement and something a judge has never had an interest in reading since all of our evictions (only 3 in 20 years) were for non-payment of rent and not only for breaking our property rules.I posted our Property Rules in the BP File Place in 2014.

There are a few questions I have as my income isn't high and I know it might be hard to get a loan for a house but I do have enough capital raised for a down payment (15k).

I am looking to scale my business and am leveraging an investor (my parents) to fund my down payment for 5 % interest on a 10 year loan.

This is outlined in Title 18, Section 1725 of the United States Code, which states that any person who knowingly and willfully deposits any mailable matter such as statements of accounts, circulars, sale bills, or other like matter, on which no postage has been paid, into any letter box established, approved, or accepted by the Postal Service for the receipt or delivery of mail matter on any mail route with intent to avoid payment of lawful postage thereon, shall for each such offense be fined under this title.Violating this law can result in a fine for each piece of mail that is improperly deposited.

@Anthony Warlick at 1.25M at 8%, assuming 75% LTV your payment would be 6879 without taxes and insurance (since that wasn't listed here).

DSCR loans are based off of down payment, credit score and either actual or market rents so it helps to supercharge an investor's real estate goals and net worth.