Now if you have a health care company paying the credit part is no longer an issue and they do background checks on all employees.

The way I got around it was I had capital that I could use to payoff the load and then the bank issued a new loan for the BRRRR amount, which I then got my capital back plus the additional capital based on new ARV.  

My credit score is 720+ and a down payment for an average property in Louisville, KY shouldn’t be a problem. 

FINANCIAL CONTRIBUTIONS:1.1 Party 1 Responsibilities:Party 1 shall contribute to the partnership for the down payment, closing costs, and construction costs for renovations and additions.1.2 Party 2 Responsibilities:Party 2 shall independently pay the mortgage until both properties are rented, oversee construction and renovation, manage both rentals, and handle bookkeeping during construction.2.

It's a breeze, the cash on cash return, while low in absolute terms, is crazy high (3% down + seller credits).

If your finances and credit are in good standing, it sounds like conventional would likely be the best way to go, if it’s your first rental property.

Pulling Equity will affect CF in the short term, but may allow you to leverage into additional units adding cash flow & equity over time.

I have perfect credit 20% cash down on 400k purchase.

Debt if used responsibly is a valuable tool but to say debt will always multiply returns is the wrong message to spread in these forums where there's a ton of readers who are inexperienced investors and will fall for the trap of following your flawed approach to originating debt.If you need additional help understanding how debt works in real estate, please send me a DM and I would be happy to help you out.

If you lost your job, or your credit changed, then you could not do this or other strategies.