@Chris SeveneyI agree the sponsor is the most important factor, but passive investors can not ignore what they are trying to accomplish, and have a deep understanding of the business.The trinity!

Quote from @Adriana Collado Hudak: Hi Jason - I did a deep dive into turnkeys and MidSouth Home Buyers checked off all the right boxes.

Seasoned investors have a deep understanding of the market.

Additionally, these investors can provide warnings about potential red flags, ensuring you hire reliable contractors and property managers.

@Jake Barrutia I personally see this as a huge red flag too.

A conventional loan may come in slightly cheaper, that's true, but the red tape on conventional mortgages is excessive to say the least.No Reporting on Personal Credit: DSCR loans are kept off your personal credit profile, which is perfect for keeping your personal and business credit separate.

Is it unlikely to buy at a deep enough discount to make BRRR and PM work?

I’m nearing the completion of my Tennessee Real Estate License, and I’m eager to connect with like-minded individuals in the real estate space, specifically in the Nashville and Franklin areas.I bring over 8 years of experience in renovations and custom home building, which has given me a deep understanding of the construction side of real estate.

that said the other issues are a red flag.  

Each lender is different, but you don't want to run afoul of those rules and find yourself deep in a court case with your lenders for fraud.