Your Rochester market is great to cash flow, but as you stated, long term demographic trends are not favorable.

Short to say, that rental income from a primary residence is counted less favorably or more conservatively.Hope that helps, let me know if you have any questions. 

The syndicators of apartment properties I have seen on BP seem to be able to get favorable financing terms and be able to refinance with 30 year amortizations with a low interest rate fixed for 10 years and with a 75% LTV.  

The bank will count rent on this loan but the terms are less favorable.

So play it up that you are doing them a favor of working it out outside of court.

if the local rental ordinances are favorable and you're willing to do what.  

I will be living in there for at least 2 years and moving on to another hopefully by then if the market works in our favor.

What I do/have done in an audit situation is to provide the applicable IRC references verbatim, then state my own facts and circumstance and then phrase by phrase state how my situation is governed in my favor by the IRC.

Every broker always wants to double-end the deal, and many brokers will describe certain offers as most favorable for the owner if they are going to be representing the buyer.

What they almost all have in common... they need to be rehabbed, their is a definite upside for resale and money to be made, and for the resale, there are mortgage lender who will write a mortgage for an end user, owner occupant.These should be a perfect low cost, point of entry for new investors that don't have deep pockets, and offer a low risk entry point into investing.The difficulty here has been in finding lenders who will provide purchase and/or purchase & rehab loans on this particular type of property.If you know of a lender, I would happily share it with investrs that favor this type of property.Thanks,John Rogers