Depending on what type of property and occupancy between 3%-3.5% for a first primary, 10% for a Second Home, and 15% down for an investment rental.It's best to have a full conversation with a Banker or Loan Officer to get the full scope of your goals and directions. 

I think you are right, non conforming can be a can of worms especially if the conversion was unpermitted or you ever want to improve the property in the future

I recently had a conversation with someone local about MTR’s and how lucrative it has been for her.

If you’re interested in learning more about becoming a featured agent or know someone who’s interested, just send me a message and we can start a conversation to see if it would be a fit for you.

, etc, etc.....most mortgage brokers are happy to explain these issues to you, and help you understand why you're being quoted certain terms--and what you could do to get different terms...I've had many long conversations with my mortgage broker about these types of issues, and I always walk away with a better understanding of my own financial picture, how the banks operate, what I need to do financially to qualify for what I need, etc., etc.

Or put your eggs in one basket for a top notch cash producing property (that could even at a later time become a condo conversion easily)?

Gave them a curt no on their application and they proceeded to argue and plead through multiple conversations that they should be rented to.

You can get a really good feel on they type of person someone is by a quick conversation. 

Since they didn’t tell you immediately (red flag) My advice would be to call them on the phone first and then to relay that information back from your conversation via email for written documentation.

It is good to start the conversation as early as possible though.