To be clear, what that means is the private lender would abide by and use those Fannie Mae and Freddie Mac established guidelines with perhaps overlays which are slightly more conservative.  

He has access to some great foreclosed Fannie Mae apartment complexes.

With that closing date, it sounds like a Fannie Mae, if it is, you are responsible for all closing cost and then you have even more bargaining to do.

@Paul Bryzek@Antoine MartelIt sounds to me like you both need to use a non prime type lender that specializes in loans that don't involve Fannie Mae or Freddie Mac. 

@Molly Morlino , I don't consider myself to be high maintenance in any way, but the only apartment I ever rented had a single sink and no dishwasher and I hated washing dishes in that apartment and resented that it didn't have a double sink or a dishwasher.

If yes, than I heard about Fannie Mae exception in one of recent BP podcast.

1-Fannie Mae/Freddie Mac doesn't lend to LLC's, period. 

Fannie Mae loan so has to have the transcripts.

As far as conventional for a duplex I don't think Fannie Mae and Freddie Mac go as low as 5% down for a duplex.

Nope - it´s all on my US tax return.Like a mortgage broker told me: he tried "every angle" to fit my situation into "the system", meaning Fanny Mae and Freddy Mac don´t like my situation.Sure, at the moment I´m working with a bank that also offers inhouse loans (aka portfolio loans), but it still irks me that "the system" seems to be so highly automated that no human with a brain between their ears could look at an application and decide that someone might be good for a loan, although he or she doesn´t "fit into the system".I don´t have a real question for you guys, I guess I just wanted to let some steam off...Happy investing!