I highly doubt this is the case unless this is an extremely old renovated garage in an extremely old area of town.    

Hi everybody,After living in the San Francisco bay area for 30 years I've recently relocated near my home town of New Orleans.

Because I know marketing and my town, and he can help with repair values, does wholesaling sound like a good fit to start?

I have had a few deals come up in J-Town and Fern Creek that even at a low cost and adding necessary rehab, the rents will not get to 1%.   

Areas like Royal Kunia, Kapolei and Makakilo, you can get a lot more house for the money than you can closer to town in places like Pearl City and Aiea.

Generally speaking, what do you all think about towns / cities with lots of or very few rentals?

I think if you structure the file fluidly to anticipate all these areas the underwriter in most cases will sufficiently be able to document the file with just the letter I mentioned above to proceed to docs.The self sufficiency rule above is the hardest because in the past all 4 units had to be greater than the full PITIA (principal/interest/taxes/insurance/assessments) but recently FHA changed this rule to 75% of the rental incomes of all 4 units has to be greater than the PITIA which is a much more restrictive rule basically forcing out properties in markets which  have lower rent to value ratios like most parts of orange county, most of los angeles,  most of seattle, Austin core down town areas, Dallas core areas, and other more expensive areas.

I was really determined to buy a property and have finally done so, closing on my first ever building about 2-3 weeks ago, a 3 unit building in Groton, CT (if you haven't heard of it I don't blame you, it's a small town in southeastern Connecticut). 

So, moving to a sleepy little town in MI doesn't scare me in the slightest.

His group came through our town and made an interesting pitch.