In the Mortgage and Rental Industries, anything negative that has to do with prior housing  stands out like on the Credit Report like a Neon Sign with arrows pointing at it!

The reason why I got commercial financing was because the places weren't immediately livable (missing kitchen, bathroom etc) and conventional lenders wouldn't lend on the property.Note even though they're commercial, at least for me, about the same application process as a conventional loan: full doc, credit pull, personal guarantee.   

The HELOC sounds like it's cheap, interest only, makes your credit score better.

I don't have a ton of money to start but I could get a VA loan and a line of credit to do any rehab.

I do not have the net worth or credit that bankers I’ve spoken to require.

Ask basic questions - income, credit, pets, nonsmoking or not.

Perhaps a 20% mortgage with a 10% line of credit?  

I have found that many of my investors have been having issues with fraudulent private money lenders down here in Florida.With that being said, I was wondering what types of precautions can be taken when dealing with a private money lender.

My friend has home construction experience and I have a good credit score with a desire to learn.

@Todd Willhoite  Desktop Underwriter® (DU®) provides lenders a comprehensive credit risk assessment that determines whether a loan meets Fannie Mae’s eligibility requirements.