I don't have 20% down + closing costs available to pursue other loan programs.  

Unlike traditional lending there are NO rules, regulations, laws, licenses or governing bodies to hold Private Money Lenders accountable to.

We had landlords lining up to participate in the program as they knew it was easily guaranteed, long-term and consistent rental payments.

Joas,There are new programs where you can use a stand alone second to cover the 3.5% which is bascially a 100% loan with a 96.5% + a 3.5% second option. 

I also worked with the local medical school as our facility was also part of their residency program. 

So you have to ask yourself if the markets crash or the government can’t pay its bills what’s the most likely thing the FED and government will do?

Typically it will require 20 percent unless you are using a government insured rehab product. 

Now the issues I have with the program are not tenant-related.

We have established an Accountable Plan and a reimbursement policy, which governs how we reimburse ourselves when we travel from home to the property to do maintenance and repair work, or when we buy supplies for the property. 

@Bassel Haddad as Russell mentioned, you can ask to review the governing documents and the financials of the Condo Association.