Or is that 3%limit just for "closing costs and prepaids" and you can credit whatever you want for other reasons?

On your earnest money agreement make sure you get a credit for refundable deposits and prepaid rents (last month) and prorate lease which your escrow closer needs to know about.

I have owned the property for over 6 months.I was in contact with a broker today that said he could get me 80% LTV on a $100,000 mortg ($80,000, 30yr fixed, 4.99%, 2 points)He broke down the fees as follows:[b]Mortg Broker's Fee (2%) = $1600Underwriting Fee $295Other charges:Appraisal fee = $400Credit report fee= $38.50Closing/Escrow Fee = $150document preparation fee = 55notary fee= $15lender's title insurance= $664.88closing protection letter= $75endorsements= $155wire/disbursement fee = $25courier fee = $46.50mortgage recording charge = $187hazard ins. reserves = 73.33 x 6 mons = 439.98county tax reserves = $162.50 x 6 months = $975daily interest charge = $10.937 x 5 days = $54.69__________________________________Est. prepaid items/reserves = $1469.67Est. closing costs = $3306.88So from my $80,000 loan, I end up netting $75223.45 after fees.

Again, an FHA loan allows for the Seller of the duplex to contibute up to 6.00% towards your closing costs/prepaid expenses, so you can take that into consideration with the price your willing to pay (ie. higher price & less out of pocket for you).If you were in TX I could help, but if not, talk to a local mortgage banker/broker and they can get you set up.One more item, if your current residence is financed by FHA then you can't do this as your only allowed to have one FHA loan at a time with very few permitted exceptions, of which your situation does not fall under.

Does this lump sum need to be 'seasoned' or because it would be written up as prepaid rent a bank would be more willing to write up the mortgage?

That's just for the actual costs, not prepaids or loan points.

Last time one of my college tenants wanted to bail early his pop pre-paid the rest of the rent, with the understanding that if I could re-rent before the end of the lease I would refund the balance.If you don't have a parental guarantee and the students remain local, take 'em to magistrate's court and evict 'em for nonpayment.

Some of those are prepaid expenses, like taxes and insurance.

Anyway, he had people prepaid for these conferences and still only had 10% of people dial in.

Any and all detailed expenses statements should include a breakdown of all current staffing, including position/title, annual wages, full or part time status, and if such staffing is seasonal then a breakdown of all such employees and the number of months worked.e) Certified copies of all tenant rent rolls, including a schedule reflecting any amounts set aside as pre-paid rent, or any amount set aside as a tenant inducement, or concessions, together with the amount of any and all security deposits held by Seller or its agent.f) Copies of all maintenance agreements and all other vendor contracts, with respect to the operation of the real estate improvements located on the Property;g) Copies of any and all utility service contracts, availability and capacity letters from the appropriate authorities concerning water, waste water, electricity, gas, garbage disposal and collection and other municipal utilities and/or services;h) A preliminary title insurance report ("Title Report") for the Property issued by a title insurance company selected by Seller and acceptable to Buyer at Seller's sole cost andexpense, showing the status of record title to the Land and Improvements, along with legible copies of all recorded documents referred to in the preliminary title insurancereport.