The restrictions exist to support NACA's mission of neighborhood stabilization.

A few things to note: Most conventional or bank financing for mixed-use requires closer to 20–25% down, especially on buildings with commercial space.Hitting 10% down is tough, but there may be creative ways to structure it for example, a bridge or rehab loan that funds a portion of the construction, or bringing in a preferred equity partner to effectively reduce your cash in.Bridge / Rehab Loan (Interest-Only, 12–24 months): Could cover purchase + rehab and get you to stabilized ARV of ~$700K, then you’d refinance into permanent debt.DSCR or Bank Loan (Permanent): Once stabilized, you could refi at 70–75% LTV.

.- Loan Options: For BRRRR, you usually start with short-term financing (like a hard money loan or private money) to buy and rehab quickly, then refinance into a long-term conventional or DSCR loan once the property is stabilized.

That lets you pull equity while keeping everything in one note.DSCR or investor rental loan: approval is based on the property’s cash flow rather than just your W-2.Bridge-to-rental: use a short-term loan to access max leverage quickly, then refinance into a DSCR once the property is stabilized.  

That’s why smart investors are: Getting pre-approved before the deal so they can write offers with confidence.Using bridge-to-rental loans to buy and stabilize, then refinancing once rents are seasoned.Leveraging DSCR loans so the property pays for itself instead of being capped by their W-2.  

Quote from @Patrick Lismon: Hello everyone,My name is Patrick and I am an investor actively analyzing value-add and stabilized multifamily deals in the Kentucky and Tennessee markets.

A few key things I’ve learned that can really impact the numbers are:- Understanding local market demand and regulations, since that affects occupancy and stability-Factoring in costs for proper management and resident support services, those keep the home running smoothly and reduce turnover-Being realistic about timelines for filling beds and the importance of vetting operators who align with your goalsThese factors can significantly influence the financial viability and stability of the investment.

It’s a nice balance between cash flow and stability less turnover than STRs, but higher rents than traditional long-term.

Quote from @Patrick Lismon: Currently reviewing a 7‑unit in Benton, KY and multifamily packages in Bowling Green and Knoxville MSA.I’m focused on stabilized deals with dual‑exit strategies (flip or hold) and looking to connect with operators who’ve scaled from small to mid‑sized assets (20–50 units).If you’re investing in KY/TN or have experience repositioning in secondary markets, let’s connect.

The challenge is two fold, you basically need a higher rate, lower DP bridge loan to get you to 12 months stabilized, and then also want/need it to be no PG.