Those numbers are not sustainable.

Is there a way that since the mortgage was not performed in a timely manner that I can be compensated for the appraisals and other fees due to mortgage broker in my opinion not knowing what he is doing?

If enough people believe it, it can be sustainable.

That means you more or less have to put the unit back up for rent in a reasonably quick manner.

It’s just not sustainable.

If I can add anything, if you find another deal, 3-4 unit properties, keep in mind that the property must pass the sustainability test: 75% of market rent must cover 100% of the mortgage.

When you have 40% year over year growth, that is simply not sustainable and when a correction happens Austin will experience it as bad as ever before.  

They certainly aren’t the only lender than treats LOCs that way, which is why I said there are lenders that underwrite in both manners.  

Even with C-class assets, you can always find places where there appears to be a good chance of sustained appreciation, areas where you see a significant chance of gentrification.

If your strategy is to fix/rent, plan to refinance the property in a timely manner to pay back your HML.