Would like to be 1500 square ft a side with 3 bedrooms 2 1/2 bath.

And no, most likely $200 is not going to make it...

Full disclosure they are our firm's referral partner, but more than likely  they can save you money and are cheaper then alternative companies 

@Marcus GriffinTypically as part of a modification the bank will have a “shock package” which includes information and forms to be completed by the borrowerOn those forms there are questions like will they or do they occupy the property, there income, do they plan on keeping th home.This is equivalent to lying on a bank application which is most likely considered fraud Not providing legal advice but this is definitely a very slippery slope you are getting involved in.

Zach,Even private money doesn't like 2nd position.My 2-cents,Mike

Are there other areas in CA that you could drive to and find a multifamily in your budget like in San Bern?

I ask these specific questions because I would like to set my goals and business foundations accordingly. 

How should I respond without seeming like I'm only replying because of their threat?

We would like our next purchase to be a small multi-family property that we can house hack.

I'm in Southern Maryland as well.