Using BPs calculator, Ive run numbers on about 50 properties in the last 30 days in search of my first SF rental property ($50-60k range) in KC, MO market. At this level, I can do all cash, but why would I if I dont have to? When I provided a recommended lender my personal info, I was quickly told I wouldnt qualify; my personal income over the previous 2 years wasnt high enough.

It's true, my freelance income has been random, and the $46k salary I had for 12 months wasnt enough when spread out over previous 2-3 years. My cost of living is super low and Im able to get by just fine on what I do make. But I was still miffed. My "available cash" is a stock portfolio valued at 10x the loan amount being discussed. I have near-zero personal debt and about a 729 score. The loan officer at the national lending company, LoanDepot, knew this. Said it was about the paycheck.

So I get it... I'm not suitable for $35k loan because I'm essentially unemployed. Yet he/they also know jobs vanish over night (See also: US federal govt employees).

Anyway that's scenario #1. With one additional note. Not looking to flip just yet. Looking at move-in ready (or close to it) rentals until I have more experience. I only look at 10%+ cash-on-cash ROI and which cash-flow $300/month or more. I'm finding them., but as all-cash calculations, no interest.

Is it worth talking to a private lender or would cash flow zero out? How does one exit such an arrangement... without ending up back at the same place i wouldve been going all cash?  

Will private lenders accept, say, being a lien-holder on any existing props in exchange for a lower interest rate on the new loan/property?

Scenario 2: I've always thought one form/definition of "leverage" was, say, using one fully-owned property as collateral for a new loan. Is this no longer done?

Thank you for shedding light on options.