You'd want to pull some comps to be sure and depending on your rehab costs skills, get some contractor proposals as well.

Tobyhanna Township does NOT have an ordinance in place; however, they have multiple drafts of their proposed ordinance (you can find on their website - note: Tobyhanna Township and the town of Tobyhanna are two different places).

Malave If the rent from the main house is enough to cover the proposed PITI then you can hop into a DSCR loan now and just handle the garage conversion later on but most long term fixed rate debt will have SOME sort of prepayment penalty. 

As a Contractor myself, my biggest challenge is staying in budget as much as i can, making sure the investor is not building a house for himself to live in as it happens in a lot of cases and they lose in the back end, and staying on schedule.Budget: I can give a ball park number and where we should be at Sqft costs, as long as the investor doesn’t go Crazy, I usually am within +$5 of my proposed Sqft CostsInvestor: Rookies have the same mentality, Let’s build this flip like we see on TV!

For one, they wouldn't have to worry about waiting on a buyer to come in on time to get that done, and it would also make the proposal to the end investor buyer more attractive to jump on.

We visited few existing near by apartments to find out occupancy, rates, amenities etc to compare with our proposed project. 

Seeing as it is an existing operating business ready to rock and roll will open up some options from other lenders.There is also a proposed expansion of SBA lenders so that could speed things along.Don't let FOMO get to you.

Let me propose some follow-up then: This same loan may be refinanced - if that happens, that's probably good for the owner of the MBS since current rates are *higher* and they'd receive the full balance of the loan.

Just finished excel sheet for inspections, set up meeting with legal to setup separate business (dunno LLC vs corp vs trust etc), we are building our proposal and should have everything ready to either go to bank or set up owner financing by end of next week.

I'm an out of state investor, and after receiving quotes, I decided to fly out to Indy and was able to find that some of the work they proposed was bogus (wanting to change a perfectly new carpet with hardwood for instance).