People ignore that for the same reasons they ignore the odds on playing the lottery - they want lots of money and they want it now. 

@Kevin Hausfeld   Nothing would prevent you from building another home on it, assuming there are no zoning/building restrictions for 2 homes on one lot, but you couldn’t get a loan for it.

As long as the property generates enough cash flow to service the debt, you qualify—without the need for personal income verification.This type of loan is ideal for those serious about growing their real estate portfolio, especially if you’re self-employed or have irregular income streams.Why DSCR Loans Matter for Real Estate InvestorsWhen it comes to real estate investing, traditional loans can often be restrictive, requiring personal income verification and imposing limits on the amount you can borrow.

If you have a county commissioner you could also check with them to see if your STR Rental would be a problem, I would be surprised if the county would do anything to restrict your use.We lend on Rural STR, up to 70% LTV for DSCR rentals, with no seasoning, we can use AIR DNA for income projections.Hope this helps.

Non Premier hosts, same minimum restrictions, crap photos, mediocre reviews and yet that are on page one.

Of course, with all things, the answers to all these matters will depend on the circumstances.California tends to have more laws on the books and requirements and restrictions that it can be a good idea to form a CA LLC for out of state property so that you as a CA resident are covered, and to try to have your contracts fall under the purview of CA courts.

I will say that the odds this scheme works in your favor is very limited.

I really want to be as hands odd as possible with operations so I’m willing to spend on a good property management company (mentioning again I’m not as concerned about cash flow today)any insight into markets you are aware of with good alleviation outlook over next 10 years?

Each loan product type has different rules and restrictions for using rental income to qualify for new purchase, and some can wreck your plans (such as the FHA 100-mile rule).

Well my dad / PB got scammed as well and we didn't find out until today when I started doing some research on the properties because something just appeared to be odd about a couple of them.