I would love to hear from everyone else on what their thoughts are on creating a win-win. 

Even after a $40/50K (generous estimate) rehab you can cash out re-fi, pay yourself back and your investors back and still hit the 1% rule.

The biggest difference between a townhome that has an HOA vs. any other props without an HOA are the bylaws & restrictive covenants.Some HOA's have investor caps & rental rules for short-term, etc. 

With that being said, you have to go out and create the deal from the MLS.

While something like the 2% rule is not something you'll see in our area with out forced appreciation, you can find .5% with cash flow of $200+ a door.  

Also the $500,000 rule is for those of you living in California which makes much of work profit the state.

Keep in mind that any traditional lender will have rules and limits for how much the seller can finance in addition to their own loan, so unfortunately it's not possible to combine the two for 100% financing or anything close.John

The attorney can also then assist you with creating the following compliant with all federal, state and local laws:1) Rental Application2) Lease & Pet Addendum3) Renewal documents4) Nonpayment Warning Letters5) Eviction Letters & Notices6) Legal Entry Notices7) Security Deposit & Release of Liability Letters8) Vendor Contracts with insurance and other requirements9) MoveIn & MoveOut Procedures to Share with Tenants10) Etc.Hope this helps!

I can definitely tell you there's still a lot of positive cash flowing and 1% rule deals and you get amazing appreciation.

Hi Maryam.If you are still interested in creating Section 8 rental in Detroit we can help.