By the way, if you want to borrow more off the home than you paid for it, you need to wait at least a year before applying.

You're actually more likely to foreclose on properties that are vacant, so if your goal is to produce interest income, I would recommend that you focus on occupied properties that you expect will be redeemed by the owners/bank.Now if you're talking about wanting to avoid evictions, that's a different story.To answer your question about mortgage companies paying the delinquent property taxes on behalf of the owners:  if the borrower is underwater on their mortgage and not making payments, they bank may decide to walk away rather than throw good money after bad.    

No he does not, my friend is a foreign national and only wants to diversify his assets, but his only logical choice is to build and hold, we are both engineers, I could build bridges, he could build malls.

I borrowed $70,000 cash to buy and rehab the property.

@Jordan DeGusipe, your choice.

I was especially surprised to see that non-borrower household members could be included in the new debt to income calculation!!!

Borrowed from: http://lydickwf.com/products/built-up-roofing-syst...

All safe choices..

The easiest option is to borrow the downpayment from other sources (401k, friends/family, low interest credit card).  

The rate is not locked until a contract is accepted, unless the borrower wants to do a extended lock and pay a higher rate.Upen Patel, Mortgage BankerFederal NMLS# 1374243Moderator: This is not self promotion.