Its common practice for many to purchase with FHA or VA (if eligible of course) terms, simply because they are more favorable in small or no down payment situations and gradually build enough equity to one day refinance out of the government backed loan into a conventional.

My family and I are relocating out of state from Louisa county, and we'd like to get our home sold as quickly as possible, so we need someone who will work for a sale and not just list it and forget it. 

@Chad Johnson...I am much newer to REI than you...In fact I practically know nothing. 

I would also check with a lawyer in your area to verify the legality of these practices there.

I don't think you EVER need to rationalize your business practices to a tenant who's behind on rent.

Ultimately, we will relocate to a new personal residence and the current home we occupy now will become rental property number two.Our short term goal is to build a portfolio consisting of ten investment properties using a buy and hold strategy.

Hi Nicole,There is a lot of information about you and the deal that are not in your post but I would suggest that an 8 unit coupled with college rentals may be a bit much for a brand new real estate investor.Yes, you have to jump in and get your first deal under your belt but my feeling for new investors is to start small and safely add practical experience to your educational process.

Jerry:In our practice it's a pretty simple determination.  

My parents just moved to Mesa with the State Farm relocations going on.

We had a top notch business attorney set them up because we have two family partnerships and needed the LLCs for defining our business practices and for determining the course of action if one of the parties should want to sell out or died.