Is it a family area that tenants would want a family room/play room?

Letting a Government run your business is not my cup of tea....Having said that, if you can tolerate the Govt being involved, you can make a lot of money...just play the game.

Looking for value add opportunities is a good play to build equity into the property so that you can refinance into a conventional loan once you hit the LTV requirements.

Moral of the story:  If you don't mind playing their game and jumping through hoops, you are covered for surprises on your personal home purchase. 

ROI truly just measures opportunity cost of dead equity. 

I'll have to play with these numbers a bit more before they make sense to me I think.I appreciate your response!

That could play into the analysis of the timing of the if the bankruptcy filer files a string of bankruptcies under different chapters.

Unfortunately,  some lenders don't play nicely. 

Key in this is to open the HELOC while it is still your primary residence.Now, as always, talk things over with your lender or prospective lenders and see how the situation will play out for you.  

Beautiful area to live play and retire.