I just saw the part about FHA not being an option. 

So there are several good options here in the Ohio market. 

So I plan on going with the FHA 3.5% down and hopefully going for something in the 3-400k range in a neighborhood like back of the yards, mt greenwood, south shore but also open to other options.

(I told him we have other options, but I would rather that he gets to make the profit instead of the bank.)

Seeing a lot of success when people have an unemotional optionality for the project and simply run the numbers when the project is complete - put it on the market for sale and for rent and then plug it into a pretty basic spreadsheet!

Hi Mariana, Cleveland and Columbus both have some great options. 

If you are looking for a generic 80-90% of purchase to fund with a good FICO score for a normal 1-4 unit, you don't need to spend too much time on finding lenders as you have plenty of options.

I know of some options where you can go to non-traditional lenders and use a DSCR (debt service coverage ratio) loans and you may be able to leverage that money and not have to rely on your credit to get approved.      

Going to be very different cash-out refi options depending on the type of building/tenants

The rent is less but compared to the expenditure it’s a much better option in my situation.