It is actually worse because they will count the entire approved heloc amount minimum payment against your debt to income ratio, not just the amount you currently have borrowed.

Well-qualified tenants have lots of choices, just like well-qualified car buyers can walk into any dealership and buy a car.  

If you don't have cash coming in to pay December's rent and don't have people you can borrow from, then your condo needs to be listed yesterday.  

The final numbers have to be delivered to the borrower 7 days prior to funding, not 3-5.The Initial disclosures used now (good Faith Estimate and Till) are also being replaced by a combined document that is called a Loan Estimate Forms Set, and have to be delivered to the borrower in the same 72 hours from application being taken time frame. 

@Davon LoweryI learned in Tallahassee, Florida that it is a buyers choice on which title company to use.

If the primary borrower can't pay the mortgage, the noteholder will absolutely protect their own interests and go after the partner regardless of whether or not their name is on the deed.This situation happens all the time in divorce cases where one ex-spouse quitclaims the house to the other but later finds out they can't qualify for a loan because the the mortgage is still under both their names and is killing their DTI.

The asymmetry of information goes both ways - banks and hedge funds are dealing in large volume and very often loans fall through the cracks.One of our most profitable loans was a 2nd mortgage (HELOC) that was in 1st position because the borrowers paid off the 1st mortgage.

I've yet to go down the borrowing investor money route - so I'm definitely looking for information on the best way to structure this.  

They are out there, just need to work with the regional lenders versus national in most cases.As to the OPs question, I was successful in borrowing on a legal 5 unit property that the bank treated as a 4 unit for lending owner occupied, but it took me nearly 6 months to close the loan after jumping through hoops.

The borrower filed for a homestead exemption for property taxes and even though she had another homestead exemption on another property that she claimed as her principal residence--she was obviously making at least one false statement--we had to treat her as an owner occupant when we foreclosed.