If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.Our OPINION for the Metro Detroit market (always verify each area for yourself!)

I'm currently exploring the possibility of applying for an FHA loan and had a couple of questions, and I'm eager to tap into the collective wisdom of this fantastic community.1.

If the income reported can support a total monthly housing and debt expense of no more than 49% based on the loan amount applied for, you should qualify for conventional financing.

There are other laws that apply too.Also if the property was in CA, they have strong state clean up standards and laws.  

Thanks for pointing me in the right direction

I called them direct and asked them specifically if they would value an operating STR at a higher value than the comps of similar properties.All the answers were NO.

Regardless if its 2023 or 2013 these same reasons apply.

Although having a higher DTI will not directly increase your interest rate, it will impact the loan programs you may qualify for and indirectly limit a buyer from a potentially better option. - What factors of a mortgage can vary from borrower to borrower?

My clients also do a COMBO approach sometimes where they buy longer term NNN to own directly 100% themselves say a 5 million or 10 million NNN STNL and then they invest in my syndicate value add deals passively 100k plus at a time.

We even have our cleaning supplies shipped directly to her now.The benefit is that it's a business expense and your only responsibility is noticing the small details, not cleaning them.