The policy is designed to comply with all applicable federal and state regulatory requirements and establishes minimum standards for the extension of credit.

(re-finance later is easy)Is it the period of time you get the private lender money or more standard 15- 30 yearsAny feedback highly appreciated.

Can't make you buy a home that isn't up to your standards, irrespective of what they say.

Also something else to consider is that the fire code requirements are more involved for a 3-family (interconnected) than a 2, so if it's not already compliant with the 3 family requirements you'd be expected to bring it up to compliance if trying to turn it into a legal 3 family.The phone # for the building department (technically "Department of Inspections and Standards") is 680-5201 and their website is providenceri.com/DIS - as with most city services, I find that I can usually get some help over the phone (sometimes with some waiting on hold), but they are most helpful in person, if that's something you're able to do.On the specifics of that particular property, one option that often comes up with weird utility setups like you describe, is to just have the owner pay utilities.

Standardize now will save you time in the future.  

As a renovation lender, I suspect the main reasoning behind limiting renovation financing to contractor work is that the bank is more comfortable lending on a property that is more likely to have work done to professional standards and because there is a limit on the time you have to complete the project.

Standard operating procedure.

I did it within 90 days (Sort of) Items Standard Cash Flow Actual Cash Flow Purchase Price $47,000 $47,001 Repair and other costs $6,500 $6,500 Total Cost $53,500 $53,501 Cash to close $13,375 $53,501 Monthly Rental $920 $920 Mortgage (25% down 30 years) $185 $0 HOA & CPA $38 $38 Insurance $50 $51 Property Tax $142 $142 Mgmt (10%) $92 $0 Vacancy (5%) $46 $46 Repairs (10%) $92 $92 Sub Total of Monthly Maintenanth $644 $368 Monthly Income $276 $552 Annual Income $3,310 $6,621 Cap Rate (Net income / purchasing price) % 6.19 12.38 Cash on Cash % 24.75 12.38Photos.Lessons Learned#1.

I used 25 percent but now with looser lending standards use 20%.

next to the parameter queues that give suggestions. 5-10% is the standard used for vacancy on these boards.