Time for a divorce and to marry up to someone who knows what they are doing.However, the Fannie and Freddie guideline for a 4-unit cash out refi is 70% LTV max, so that part is correct.No need for commercial if you're good with a $490K loan amount if it appraises for $700K.And don't pay points unless you aren't going to sell or refinance again for at least 6-7 years or more.And find a new loan officer, for the love of all things holy. 

To meet IRC Sec 453(l)(2)(B)(ii)(II) you or a related party of yours shouldn't make improvements before the sale.

Income is income is income...always...and regardless of anyone's political party, the Govt. wants their cut.   

They will also charge you to have an inspection by a 3rd party to make sure the work is done.

You need to be the last one standing when other investors gave up.

I have enough to with stand 4 months of vacancy I am working to get that to 6 months.

But with family, it’s often easier if an outside party helps point you all in the right direction.

The most important thing to do when buying a property is to get it inspected by a 3rd party prior to closing.

Did you know ARV stands for ABSURD RESALE VALUES?

It's up to the parties to discuss and determine what that "pad" looks like.