Hey All-Im just starting to run through and analyze deals on the MLS.  

Let me know if you have any civil engineering work, I may be able to help out.

I'm an engineer by day, but I'd like to start building wealth & cashflow with buy and hold properties in the Columbus area.

Has anyone else run into this road block on their first deal?

The answer is no,plain and simple.If he wants to run a home based business so badly,he can buy his own house and use his own insurance and take his own chances with city code enforcement.This is a legal disaster waiting to happen if you allow it.Find better tenants if they threaten to move,you'll sleep easier at night.

Run a thorough background check, make sure they have the financial ability to pay their rent, and then you can use social media to help you make an informed decision.

Even if you don't try to get credits or items repaired, just so you know what's going to need to be addressed after you buy the property.Typical inspection will run you $500-$750 depending on the inspector.

The problem is that when I run the numbers for DTI (even using the rental income @75%), we are coming up short of what we would like to be able to qualify for. 

There are plenty of scams that promise low interest and fees for an upfront charge, and then take your money and run.

I've never run across this situation in this particular area and I'm trying to figure out how the numbers seem to work out well, the rents have remained pretty consistent, yet the price is beyond what it was at the peak in 2007.