LTV Based on Purchase Price(Common for conventional or some hard money lenders)If the loan covers the purchase only:LTV=Loan AmountPurchase PriceLTV = \frac{Loan\ Amount}{Purchase\ Price}LTV=Purchase PriceLoan Amount​Assuming a full purchase loan of $270,000:LTV=270,000270,000=100%LTV = \frac{270,000}{270,000} = 100\%LTV=270,000270,000​=100%➡️ 100% LTV (purchase-based)🔹 B.

Usually 15% at a minimum but 20% is much more common simply due to pricing.What many people do is live in a house for a year or two, then convert it to a rental property when they buy another house to live in. 

I suspect your insurance number is low. 35 to 45% all in costs is pretty common if you have 3rd party management. keep in mind cash flow on top of all cost is only one component of the investment and in my mind not always the most important unless your buying in an area that is depressed and you think values will be stagnate for basically the life of the investment then positive cash flow a very important factor. 

It's a common misconception. 

Thanks Stuart for the detailed reply, this was my second investment on Real Estate, I was referred by a member whom we are in common forum of IT Staffing Business.

The concern from the secondary capital markets lies in the following: Residential assets are appraised as, and commonly zoned as, their highest and best use.

The common theme is the audience doesn't know to ask "how" or "why" before making their purchases.At this point, I am genuinely unsure what kind of messaging actually cuts through and captures attention, and more importantly what convinces investors to pay for proactive advisory services rather than waiting until a problem or realization event forces their hand.I used to spend about 10 hours a week consulting with investors across the country on proactive asset protection systems.

You should either buy with a DSCR up front if the property is eligible and self fund your rehab or hard money for acquisition, do most rehab to common areas with the exception of additional walls prior to refinancing into a long term DSCR loan. 

Collateral & Market Risk ScenariosStress tests commonly incorporate market-based stress, such as declines in property values due to economic downturns or rising interest rates.

That said, in a Florida market where we do invest, it’s very common to see small multifamily properties listed as single-family homes.