Usually you can borrow 80% value being owner occupied, shop around some banks go up higher, there are many factors involved including how long you have lived there, debt to income, credit, etc.

PMI is generally better for borrowers because it drops off automatically, without the need to refinance.

1) if she wants to buy, this could be difficult unless you can find a good seller-financed deal for her. however maybe you can discuss with her that you are also looking to buy some property and perhaps you could partner on a deal together where she brings some money to the table and you find the deal and manage it. you probably need to build up your relationship with her before just putting that on the table. if you use/borrow/partner with someone else's money, make sure you know what you are doing.2) if she owns something that she wants to sell, @Casey Mericle and @Justin R. gave you some good input already

As for the LLC, if you're seeking residential financing (which is easier to procure, and cheaper), you will not be able to have the LLC be the borrower or holder of the deed/title. 

Hey All,My mortgage broker got back to me with three options for our fee summary and amortization schedules.Option 1: Interest rate: 3.875%Lender credit: $340.52Total cash from borrower: $7,082.68Total monthly payment: $934.36APR: 5.276%Option 2:Interest rate: 4.000%Lender credit: $875.45Total cash from borrower: $6,552.67Total monthly payment: $942.82APR: 5.395%Option 3:Interest rate: 4.125%Lender credit: $1,342Total cash from borrower: $6,091Total monthly payment: $951.34APR: 5.513%I'm initially inclined toward the lowest interest rate, but given that I can write the mortgage interest off (up to 1mil), is it better to take to larger lender credit?

Hey All,My mortgage broker got back to me with three options for our fee summary and amortization schedules.Option 1: Interest rate: 3.875%Lender credit: $340.52Total cash from borrower: $7,082.68Total monthly payment: $934.36APR: 5.276%Option 2:Interest rate: 4.000%Lender credit: $875.45Total cash from borrower: $6,552.67Total monthly payment: $942.82APR: 5.395%Option 3:Interest rate: 4.125%Lender credit: $1,342Total cash from borrower: $6,091Total monthly payment: $951.34APR: 5.513%I'm initially inclined toward the lowest interest rate, but given that I can write the mortgage interest off (up to 1mil), is it better to take to larger lender credit?

Only thing I can think of is that they have a property with equity and they are going borrow against it.

Borrowers have long memories.

We are currently completely debt free and have been told we would be in great shape for the amount we want to borrow if we wanted to stay here.

If a borrower defaults they want to be able to seize the property as quick as possible and laws regarding personal home ownership make that more difficult.Why does this property not fall within the guidelines, needs repairs, or??