A charity - if you're losing sleep over enforcing simple rules, then this is not the right business for you.

The simple explanation is that you can kind of use the equity in your home as a credit card and this credit could be used for the down payment on an investment property. 

Yes, there are banks that will lend 100% of the purchase and rehab costs, I know of 2 here in OKC, however, they are very few and far between and it's not as simple as just going and grabbing that loan. 

I also recommend taking time to put together simple policy and procedures.

I think it would be important to inform the seller that it will take longer to close on the property because of the funding type.The Assignment process is also pretty simple.

My rules are simple.

Yes, you could refinance out and capture your VA eligibility, but the debt you have secured is low, and you can hold the properties for up to 15 yours without doing a 1031 exchange.

I like software to be so simple you can teach a novice everything they need to know about it is less than 5 minutes.

It's vote harvesting plain n simple, that's the reality.

Oddly enough, these often have a much more simple qualification process.