Sounds like a great plan and yes @Cherie Orellana explained it well.

Otherwise, it's a super deep discount to what the bank will actually want to sell the house at.

Additionally, this would give you experience in property management, however, a bank might not like the fact that you want to use a loan product (HELOC) to open up another loan product (mortgage).

So by going this route we'd have to pay approx $150 more each month on our mortgage, but we'd be cutting out the wasteful PMI and have $25K in the bank to put towards an investment.

It does appear on my bank statements.

It does appear on my bank statements.

I cant imagine any bank would lend to a brand new LLC and give a non-recourse loan.

If you can qualify for a $70,000 property, for example, then you know what price property to look for.And, once you're able to qualify, most banks will loan for multiple properties over time.

Yes I agree with you they are a big broker but what gave me a little caution was the stated programs as those programs were regulated and many banks lost their shirts doing stated programs and im not to sure they woukd get burt agsin, yet I see them on the product sheet..

I was pre approved for a mortgage about month ago and the bank quoted 4.625% on a 30 yr fixed.