,it’s a 1 acre+ “estate” with a circle drive, private entry gate, the whole nine - it basically has everything we want in a dream house after a few cosmetic updates. the location is better for work commute and rentals, but the surrounding area is less posh and we cant walk to restaurants and bars like our current location.

I will keep you updated on my status and experience

I understand the rate rises after the five year period, but my question would be is that If I would be acquiring equity at that pace couldn't I just refinance once the 5 year period end approached.

Wondering if there was any update to this thread.

As an update, I received a copy of the rental license from the seller which in addition to historical zoning approval, confirms that the zoning is correct for its intended use as a duplex.

Who is fully vetted, qualified as above, is first, IMHO.We also give them a 3-day time period for signing (we do most leases by e-sign, so there really should be no reason for delay). 

lots of rabbit holes out there and what I call due diligence pump and dump scammers.. prey on mid level developers who have never gotten one of these loans.the borrower falls for the 5 to 20k up front fee to perform so called due diligence and the so called lender never closes.I have seen colleagues of mine blow through 100k looking for CHEAP money when they should have just under stood this kind of money in the Private equity world goes out at 10 to 15% apr period unless you have a local bank that will do it like I do. but even then its one project at a time and uber cautious.. they don't want to go back to the bad ole days were they ended up owning pipe farms.. and they generally will only do these with who they determine are their top tier clients.. you cannot in our market be unknown to the bank.. unless your have that monster balance sheet.but in my mind Socal is ground zero for this kind of money.. 

During the payment period, how can I ensure and guarantee that the land is clear and will transfer to me once balance is complete?

Most municipalities require a minimum 30 day rental period, and some even limit the number of renters a year to 4. 

Some loan packages require staying in the home for a period of time.