The underlying principal reduction must remain constant.You can be in violation of federal law if you're off more than one tenth of one percent.

Theoretically the rental income can be spent and wealth will be built via increased value and loan principal reduction.

You'll just be ignored unless your offer falls within whatever their formula is for a price reduction.

It is combined with" CalHFA Zero Interest Program (ZIP) for closing costs, prepaid items and principal reduction."

Hearing the tales of price reduction after price reduction and monthly shortfalls certainly tell a different tale then the boom days of not too long ago.

It may be spelled out more simply in the RE statutes, but in the lead laws it says that if the state believes there's a "lead exposure hazard" for a child they can open an investigation that includes "issuing orders requiring the reduction of lead exposure hazards".

It won't happen overnight, there is no magic pill.  

So my question for you guys is how do you swallow the tax pill?

So, $450 in car payment reductions, allows you another $450/mo in mtg payments, or approx another $90k......assuming this doesn’t bump your “front end” DTI of the mtg payment only, above 36%.

Less cash flow, but much better debt reduction.