Only thing I'll add to the other answers is that FICO scores of coborrowers aren't averaged... lowest mid-score is used. 

To the point made above,people have to eat, but they also need a place to live. http://www.in2013dollars.com/Rent-of-primary-resid...Per these stats, while rents rise on average they still fall behind the rate of inflation.curiously enough the prices for housing changed faster than the rate of inflation:http://www.in2013dollars.com/Housing/price-inflati...great conversation topic.

I would remodel this to a high standard with really nice finishes to attract better tenants.I am buying it sight unseen and I am a little hesitant about the area.It's on NW 45th St, Miami.The purchase price per square foot is a mere $65, which is well below the current market average, even for the area.Are there any Miami locals who could chirp in with their opinion on this one?

@Cecilia Arnulphi ah, so the 203K loan is an FHA loan product. 

Utilities were included and also household supplies (paper products, laundry products, cleaning supplies).

Buy Fix and Rent opportunities allow you liquidate your funds, but Recently Nashville has had a average gross 48 percentage gain.

I am looking at cash flow of $1,500/mo after all expenses are paid that would be average monthly. 

Thomas, if I knew nothing about credit, I would just follow your model on the 650 fico, the law of averages not only favors your methodology, but the elegance of it puts you in a better spot, should anyone make a claim you were acting discriminatory.

Sounds exciting and, in my opinion, it might be more productive working outside the box. 

Stewart Title recommended a $250-300 product similar to an O&E "owner & encumbrance" report that they could then insure... does this sound good?