@Andrew Postell, I pulled it off the GRM site, which may not have updated ratios: "DSCR loans require borrowers to meet a minimum DSCR threshold, typically around 1.25...." https://www.rate.com/resources/what-are-non-qm-loansI spoke with a loan officer who said it may be lower now to reflect the market, so you may be right, but I am awaiting the approval and don't have the final ratio. 

Average underwriting is 50%-60%, anything lower than that is thrown out as a bad deal.

I was posting to see if anyone had a general agreement that they have used previously in other gap funding transactions they would of done.

@Noah Bussanichwho is the broker, and what is their relationship to you / to a potential transaction?

While you may be able to make 200/door you probably lose that with lower appreciation.I would run some numbers on new purchases in Denver and one or two Midwest markets (using zip codes for household income to identify your b- neighborhoods) and see what makes sense.

This all depends on your risk tolerance and your ability to access future capital.If it's a windfall, I would do 1 slightly leveraged and 1 all cash transaction in great areas.

Dac Colden weas our realator for this transaction and he alongside his wife made our home buying experience a phenominal one!

The best way to do this will be with a DSCR loan for short-term rentals, but this will come with slightly lower leverage than a second home loan (90% vs 80% LTV).

I’d be interested to hear how y’all have everything setup as QBO doesn’t naturally allow for complete fiscal tracking of everything (like balance sheet transactions).

Many investors from the California area buy residential homes locally but invest in the mid-west because of the yearly cash returns making more sense in these lower priced markets.