(We also were conservative in our new home purchase and are able to cover both mortgages, though we've tightened our belts more than we would prefer of course.)Anyways, we did immediately get an offer on the house, which we took after minimal back-and-forth negotiation led to an agreed-upon price of $112,500.

@Ian Stuart Portfolio lenders in Colorado are really tightening up their standards, like everyone.

@Solomon Morris I did get them to come down on the price and probably could have gotten more but I am doing conventional lending so as restrictions tighten up, I figured I would get under contract.

He said because lending is tightening and people can fudge rental income numbers if self filing that the IRS made this new rule.

@James EilertsThe lender (bank) in first position will ask where the balance of the $ is coming from and want to see it in your bank account 30 days prior to closing.If you are leveraging the balance they will not approve you especially in today’s world with lending tightening up.

& the other big banks issued warnings, shut down helocs a d tightened primary mortgages to 20 % down and add'l tightening.

That is a pretty odd policy however a lot of banks are tightening their belts so no sense in getting too hung up on it.

Once you get the hang of things and knock a few deals out, you'll have your numbers and timeline tightened up and have a better feel for where you should take a calculated risk and where you should not.

Your LTV for a purchase will be based on appraised value, or purchase price, whichever is less.However, if your numbers (which seem odd) actually hold up, you could buy it at 75% LTV on the $60k purchase price, and then possibly do a cash-out refi at 75% LTV (based on appraised value) after six months or so (most lenders want at least 6 months of seasoning before they'll consider a refi.I say possibly for a number of reasons: Lenders are really tightening their belts right now, and the pandemic is obviously shaking up the economy and the housing market.

(Insert Wayne Gretzky quote here)The first call was literally just tightening a nut behind the seat to stop a leak.