Would you be obtaining a DSCR loan? 

Introduction to the Surge: The U.S. commercial real estate market is at a pivotal juncture with an unprecedented $929 billion in property loans coming due.

Good advice by @Eric GerakosAssuming for a second it’s worth doing, remind him his broker price of 500 will be lessened by the 40k commission, and the bank will be making the money off the loan, not him.So try for 460-480 with as low a down payment as he can stomach and offer to split that payment into upfront and 3-6 months later.

Was the loan a balloon?

Loan Buy Down4.

@YaSin AquilThere are some agency lenders who will do loans with FICOs as low as 550. 

Just got denied lending from a supposed HM lender due to the source of the down payment coming from a personal loan.

I ALWAYS have a loan on my primary because they are the easiest loans to get and have the least amount of expense involved.

There is no way to know what the lending landscape and his options will be in five years from now - that type of loan could still be available or there could be some differences - including nuance with the specific property, location, etc

@Gilberto Ramirez III a fix and flip loan (12 month interest only loan) to purchase and rehab the property.