I would not risk leveraging up to the hilt and then find out.The increase in rental supply from the VC's should begin to balance the market at least.

Are you talking about the hot and cold on the bottom of the faucet where you put the supply lines?

Hard money and private money rates are more sensitive to supply and demand and don't relate to residential mortgage rates.

So will we have a situation where supply is thin in the sand states where most investors and hedge funds are concentrated and a glut in markets like Cleveland, Philadelphia, Akron, Buffalo where inventories haved piled up?

The supply of housing is still in the favor of buyers, for now.

This variance can be from the data you have been supplied or have supplied us.

I have been using cash but because my supply of cash is limited I feel that using HM would allow me to do more rehabs in the same amount of time, and although there are steep fees associated, I would net more at the end of the year.

You could have him get a report right before your eyes using one of those free annual report sites and see what is there - that shouldn't count against him as a credit "pull".How about his new wife - is she filling out all the application paperwork and supplying her credit, etc?

Supply a list of improvements / repairs to better "make ready" when unit isn't getting applicants.

A very close friend of mine has come to me wanting to supply cash for these deals.