I use this term to encompass everything from Government Backed Mortgages (FHA, VA, USDA) to Fixed-Rate, Adjustable Rate, Jumbo and Conventional. 

Anyway, we decided to "lease-purchase" the 6-unit from the LLC, reinvest the proceeds from our live-in-flip and complete the purchase with a 30-yr conventional mortgage once we convert the property to a triplex with a garage apartment.In this scenario, we will have a ~3300 sqft historic home with three apartments generating a total of $2625 in rent. 

Not 30%+ IRR well, but still double digits.  

Have you looked into conventional loans?

I am doing a 5% down 30-year conventional loan @3% interest rate with a local bank.How did you add value to the deal?

My DTI is around 45% so I’m still hoping to find conventional financing. 

If you buy a property in your own name, you might go after a conventional conforming Fannie/Freddie type loan.

So we know that conventional financing just isn't going to work. 

Instead of doing a refi to pull the equity out of your primary home, is there a way that you could save up enough to purchase your first deal with a conventional loan OR do a value add deal and then refi out of that?

I worked with a mortgage broker and got conventional financing.