Either you have absolutely no ability to find competent people, or for some reason competent people don’t want your business.  

Last I checked FTHB's have ability up the ying-yang to buy a home for way less than $25k down, and the down seems to next to never be the issue, it's the PAYMENT vs INCOME, the DTI, loan servicing...... $25k down does diddly-squat for that except in the handful of markets where one can buy a house for the cost of a garage in most other markets.

., you don't really need to fill out a 'formal' application to discuss your borrowing ability.

Sometimes when modifying a loan, if you are increasing the P+I, that could be considered a refinance, requiring you to re-underwrite (due to Dodd-Frank's requirement to show the borrower's ability to repay). 

If you have plenty of extra income each month (or indeed, if you do have the ability to pay down 80% of your mortgage now) - you can easily make extra principal-only payment/s! 

@Adriana McLaughlin If your AGI exceeds $150,000, your ability to deduct real estate losses is limited under IRS rules.

Not everyone has the time and ability to do that and not everyone feels comfortable turning over control.

Basically its no different than applying for any other mortgage, the lender wants to underwrite the loan to confirm your ability to repay.

But if you have reserves, multiple exit strategies, and the ability to pencil out deals, you will be able to take advantage of these loans easily. 

It's also about your ability to access the Sponsor's financial and managerial documents on the go so you can control and check what is happening regularly.