There are some positives though: after looking at the market, I'm pretty convinced that I made a good choice to buy this property if I eventually succeed in fixing this foundation.

I just closed on my first investment property using traditional financing (whohoo!)

The Broker's Duties and Owner's Duties should be written clearly for you to determine what is the best choice for you. 

I don't qualify for traditional financing and the best loan I found so far is a portfolio loan.

@Blake Ramsey    I am in SoCal, so the choice for other places was made for me $$$ hahaI took out 50K on a cash out refi to get started.

I wouldn’t say it’s a choice between real estate and truck driving, you should do both, live frugally and pile up your truck driving money into down payments on houses.

Flood Insurance rates from the National Flood Insurance program (NFIP), the traditional flood coverage from FEMA, have been rising and will probably continue to rise.   

@Vinh Nguyen Traditionally, it actually refers to the cost of purchase plus any repairs.

We would also qualify from an income standpoint for traditional financing for both properties, but cash for downpayment is the issue as 25% down is required for 4-unit building. 

However, the seller knowing my specialty, countered asking me for a proposal with more upside for the seller or to do a rental arbitrage.My initial offer was a 5% upfront cash payment, 15 year repayment plan at 4% interest and attempt to refinance within 7 years to repay the seller in full and secure more traditional financing.