Might as well just invest in a low-cost index fund.

DSCR deals get dangerous fast when investors underwrite with best-case rents and today’s unrealistically low expense assumptions.A couple things we’ve been doing in Memphis that line up with your approach:• We stress-test at 1.20–1.25 DSCR using actual operating data from our portfolio, not just pro forma.

If so, then the lender wil require you to insure at replacement cost - which if less than loan amount may go as low as loan amount BUT recognize in those instances, lets say its replacement value is $250,000 and you insure it for $125,000.

Focus on earning a high active income.

That means the income is active, so:• You will probably need an LLC taxed as an S Corp once you start making money, so you are not paying extra self-employment tax.• Caregiver wages, food, supplies, licensing, insurance, and overhead are all fully deductible.• Since you plan to live in the home, you will need a clear split between personal use and business use.

Purchase price $475k for ~$120k/year income.  

It’s supposed to survive long-term tenants, pass inspections, and keep maintenance low.

Quote from @Jennie Ballard: So this property popped up on Zillow as a quote "income producing property".

Stessa: income & expense tracking, automatic categorization, portfolio‑level financial dashboards, tax‑ready reporting. 5.

This is just some of the increased risk items, the list is long.Higher risks requires higher income.