That would mean that every other lender has already missed it...which might be possible I guess.Hope that makes a little more sense as to what the issue is.

LOL  Do homeowners who get work done have that many issues, too?

When you are investing in these lower income markets, you may have more issues with "cash paying" vs subsidized.

You will have a higher risk running into DTI issue that route as well.

My intention is to address this issue by replacing all the deteriorated wood with water-treated alternatives.

@Ray Williams E&O doesn't cover slip & fall liability issues at YOUR rental.Doubt their commercial policy covers anything but slip & falls at THEIR office.So, they should want you to add them as additionally insured, so your insurance covers them for a slip & fall at YOUR rental.

There are cheaper one’s in D/F areas but I would be careful as those can create a laundry list of additional issues.

Insurance (homeowners and umbrella) is good to have, but a backup to this if insurance coverage was denied or the issue was not fully covered would be a limited liability vehicle.

You could do private lending - a loan secured against an asset like real estate - and get the monthly cashflow from it without the overhead of a mortgage, issues with tenants etc.

Cap rate is ~15%, but we want to build a portfolio as we continue learning so we are trying to get our cash back out.Our key issue is that we purchased the home and did the rehab in cash, and we are now struggling to find methods to get our cash back out.