Or, just call it a learning moment and move on.When it's time to sell (I'm not sure if this approach could work in CT), but you might be able to disclose that it was repaired without permits, and let the buyer choose to take the risk or not. 

I'm passionate about this, I want to build up something so I can teach my kids how to build themselves, and as a full-time single father be able to provide for them and not have to pick and choose what I have to spend money on and as an Army Veteran I want something I can through myself in to full-time. 

I will say that I've known some people to take the mentor assigned to them and others who have interviewed different mentors before choosing.

Lots of strategies to choose from in the area, but the rent by the room strategy is growing in popularity as it helps to achieve about double the market rents.

We did have a qualified and approved tenant 4 weeks ago, but they ended up choosing another rental.

So I guess the route is:1) Try to qualify for loan with standard DTI/W2 underwriting. 2) See how much they will qualify you for and at what interest/points. 3) Get a competing quote from a DSCR lender.4) Compare subsequent deal cashflows, and choose better option. 

Choose the one that suits your goals and personality.

Then You will see some of the metrics changing a lot, and you may choose to 1031 into something bigger than the SFH.

Then when you are done shopping, the lender you choose will need to pull their own report.

@Sydney Sherman, I would give them notice of the planned construction, offer to release them from their lease if they choose, and make strict start/stop times with the construction crew so the tenants know they can expect quiet times.Offering to release them from their lease negates the need to offer a discount.