The difference in lending will fluctuate based on your debt to income ratio.

Lending Club focuses on consumer debt that is unsecured.  

Items 1 and 2 above are much more significant when making determination if one should borrow from his/her 401k.Here is an example where it would make sense to take the loan out:Suppose you have some debt you are paying 15% interest on.

I can then use this cash in case of an "emergency" such as a new A/C unit, renters don't pay, can't find a renter, they trash the place, etc.The last things I want to do are borrow money from friends and family, rack up credit card debt, or hastily sell the house.Thanks for the advice.

The only way Id ever go as high as even 80% as if it failed it would still cash flow with debt to it as a rental.The 70% rule is a very good way to analyze any flip deal because its based on percentages. 

I would think someone would notice 11 units in 2 houses.I think the only safe offer strategy would be based on restoring to SFHs and selling on the retail market. 

Make sure that what every you propose doing can carry the debt load & meet your investment goals.

Or depending on the size of the mortgage, maybe cashing out one owner and retiring the debt with the sale of one unit - may make them willing to sell cheap.If you get one unit cheap, you are in a much stronger position. 

(ability of the buyer pool to qualify and service debt) Money can be made in any market...it just takes much longer and requires creativity and diligence to identify the opportunities in mature market cycles...in addition to sticking to your financial model...without getting emotionally involved, which results in over paying for deals.

Due to that my debt/ratio is too high to get traditional financing for any deals.