He is looking to purchase personally, no use of LLC or business entity and it seems a lot of lenders are immediately attempting to direct him to residential mortgages (with much more red tape) and push the construction to permanent format.Would love any insight or possible connectionsThank you!

What are some red flags or good questions to ask to find the right fit?  

If you can make these 2-bed units (which I question), my math puts you at least $300/month in the red.

I knew this offer would only have me break even and actually later I discovered I would be a little in the red. 

The hard money loan would cost $6500 a month and that would put me in the red quite a bit.

Surprisingly, most that know they won't pass either object (red flag) or don't even apply, saving me time. 

The credit cards are a big red flag.

Much lower fees than a refi, you don't pay interest if you're not using the money, not as much red tape.

Missing rent 15 times plus an eviction is a red flag.

The first "red flag" that i noticed is that i's close to a water treatment plant.