If an agent specializes in real estate investing, they should thoroughly vet each property they present to you ensuring that it will show positive cash flow in the current and projected conditions.

I had one for $200k on my primary, which they lowered to like $87k, in 2010 or so.  

Even if they consider ~75% of rents immediately and 100% after 1 year, that would still work as the property would still appear to cash flow positive.

Hi @David Eiges,First I must say: If you can qualify for an FHA loan which is only 3.5% down-payment, I think that would be a better product since you plan on using the property as your primary residence.

@Chris Tracy small, 10 units near a college :) looking positive so far!

@Prashanth Prash, I can't speak to what others are doing, but I just closed one where the borrower's entire $70k down payment, closing costs, and PITI reserves, on an investment property purchase, consisted of borrowed money secured by her primary residence as a private 2nd mortgage.

I first jumped into the market by purchasing my primary residence in 2012 (which I recently sold for a profit in May 2016).  

I hope to be able to help people thru the process and get them out of situations that could get worse and move them in a more positive direction.

My wife and I have bought and sold several houses over the years, but those were our primary residences.

“Few, if any lenders are going to accept this secondary lien position,” real estate agent Then said, so the tax-lien associated with the HERO improvements will have to be paid off, in most cases, at the time a sale closes or the mortgage is refinanced.The question becomes, who will pay it?