However the project is in South San Jose where the leasing rates are less than 50% of rest of SV.The sponsors are confident of attracting companies promising them much lower lease rates as well as better commute (as most of the companies are in north/central San Jose).

@Deren Huang That is interesting- I am not sure it 100% applies, but it gives me something to chew on.Okay so- I promised I'd share more about the where I am part...I've worked with one investor for 2 years now and built a nice little portfolio.  

Hi Brandon, I would talk with you, no promises. 

For people that ask for it, I have them sign an agreement that basically says they understand that the preapproval is only as good as that snapshot in time that I took, and any deviation will void the preapproval, so they promise to update me about any changes to their credit/income/asset situation allowing me to re-work numbers and re-preapprove, and then I remove the expiration date language from the preapproval letter. 

Eddie promises to pay Jan rent in full tomorrow if it's ok, and I have no doubt that he can.FWIW, Eddie works for his father at an auto repair shop in my town.  

The only issue is if you buy now and improve now, but in 2020 we're in a recession, right when you sort of "promised" investors you were going to refi them back out their investments.

So in order to get an FHA mortgage using those funds from parents, assuming you do not own other real estate or similar, your parents will be required to sign a document promising that it's a gift, not a loan, and that there is zero expectation of repayment. 

Last is backing up promises.

Learn to evaluate the deals (to some level) to make sure the deal being presented to you is actually going to perform like promised.  

Steve Cook please keep us updated on if you are able to execute your plan.Some of these lenders over promise and under deliver.