MOST will want you to hold the property for 6 mths to do a cash-out refi using a new appraised value.When a local bank says they'll sell it to Freddie or Fannie, this only means that they have a department that originates loan for resell to the secondary market, acting just like any mortgage broker or mortgage banker.

I know my questions are very general and hard to answer without doing the math. just want to buy a place to live as smart as possible, keep/grow cashflow income, and have comfortable security without overcomplicating things or taking big risks.

I guess if you put 25% down (30 yr fixed rate secondary loan), you could potentially refinance and pay one of them off completely.

Hey Zac, (Go Irish) it's not Dodd/Frank, it's the secondary and insured risk concerns.

Now, compute your cash on cash return:cash on cash return = (annual cash flow) / (total cash invested)Now you have the ability to do the math on a property.

Generally done in commercial, not a requirement for residential say for secondary market, but it has been common here to get a copy here and I did as well.

But no mortgage lender will be making a secondary mortgage loan to someone who was late in the past 6 months or year.

Is there a secondary exit if the prison makes a change?

So long as you are not cashing out on a rental, the refi rules have basically the same in the secondary markey for 20+ years, so I wouldn't be concerned about rules really changing.

Using the 50% rule, that doesn't sound like anywhere near a deal.I'll let others do the math, but I'm getting a 3% cap rate.