The same lender said if they could come up with the other 5% they can go 30 year fixed interest only..This is more attractive for cash flow on a higher loan balance but will still be qualified based on the fully amortized rate and payment. 

I did hold onto $2,500 of his that was going to be a cash-for-keys deal that fell through and he acknowledged this.

But the previous owner only collected cash so we didn’t have an income to draw off of for appraisal.

Ideally we would like to cash flow or at bare minimum break even.

The unit we currently live in would rent for the same amount minimally, most likely a bit more.

If it's in demand plus limited amounts, then it's inherently scarce.  

Are you saying you will actually need to possess the 20% difference in cash to bring to the first mortgage closing?

I'm in a final round with a company but steady income has not been secured yet so if I could at least cash flow that would really help me stay afloat for the time being.Obviously I could market the unit as-is and potentially rent to someone but won't likely be able to rent to a section 8 tenant which I was hoping for down the line.I was considering starting off with 3-month leases with auto renew and I have been VERY clear with him that if he is unwilling to pay on time that I still am treating this as a business and am not afraid to evict him.

Insurance and Title Shop around for home insurance companies that best suit your needs and select the insurance company that provides the amount of coverage for your home owner’s insurance policy.

A good starting point will be to pair with a with nationwide lender (if not all cash), check in with @Joseph Chiofalo for financing without a US credit score.