I recently came across this "FHA construction to permanent Loan" option which seems almost too good to be true, so I wanted to get some input on how this works and where I might be able to find a lender.

I recently was on a call with a loan officer on this new shared appreciation loan program CA is offering.

The rates for our loans for investors including DSCR loans, Fix-n-Flip Loans, and Ground-Up Spec Construction (as well as the rates for consumer Conventional, FHA, VA, and USDA rates) are driven by Treasury Rates as opposed to the Fed Funds rate, but there is a loose connection.

., your lender instructions and loan docs should be clear on that.

so it was an accidental flip.typically for your first few deals, you'd take out a hard money loan - and so you'd probably still need to (1) put 10-15% down, and then (2) make interest only payments during the rehab.  

You borrow money to improve the property secured by that property. 

The investors I know that use the common approach of putting 20% down and using new loans from a bank are choosing to invest in Ohio, Indiana, Georgia and other less expensives states.However, folks from CA find using creative finance to invest in AZ are making big bucks.

My math has all been conservative and assuming no appreciation/increase in rent/loan paydown which makes CA rent/own ratio's look bad.

You can still get private money loans, cash out refinance or home equity lines of credit to fund your purchases, but just have all that worked out before you make the decision to purchase.You might be asking what are the negatives.

How would you improve curb appeal?