We purchased this as a BRRRR on a Line of Credit, went to do a few fixes then refinance.

What's your credit score looking like?

But, they have ZERO liability for the performance of that tenant.Second, 97%+ have no idea on how to screen a tenant, other than income = 3x rent and a credit score.

The only things that matter are credit, down payment, reserves, and DSCR ratio! 

These are going to be buyers with scratch and dent credit.  

CA there is NO possibility of a deficiency judgement on a purchase money owner occ loan.. borrower can walk and the worse that happens is their credit will have a foreclosure if the bank goes that route or a deed in lu. 

I recently did one where the lender did allow it but that was because of our position as a great customer of the bank and our impeccable credit record.  

We’ve since implemented stricter due diligence practices, like deeper tenant screening, verifying payment histories, and cross-checking financials with third-party records.

Quote from @Timothy Franklin: Thanks Patrick, I will definitely check out the meetups, but I suspected there would be a history requirement but I know everyone's journey is a bit different.  

@Iris Olivas Most local banks/credit unions can do this deal with lower fees and potentially rates than brokers.