Does anyone have experience or know of someone who was able to obtain a DSCR loan with the seller carrying a second mortgage?

While the risk technically exists, the practical reality is that enforcement tends to be minimal, particularly when properties are well-managed and maintain a low profile within their neighborhoods.Across most major counties—Clayton, Fulton (including City of Atlanta), Cobb, Gwinnett, and DeKalb—rent-by-the-room typically falls under a “rooming” or “boarding house” classification, which is not permitted in single-family zones.

At the end of the day, it's a lot of risk for very little reward.

The risks are real.

People get too carried away with living completely for free, but literally cutting your living expenses down at all is still progress. 

Welcome to the group.As you embark on building and expanding your real estate portfolio, one of the most important steps you can take is establishing a strong, proactive asset protection strategy.Real estate investing offers great potential, but it also carries inherent risks, from lawsuits and liability claims to unforeseen creditor issues.

If you buy in an area that is going to appreciate well, principle paydown never really accounts for even a quarter of your capital gains, and that's if you carry the whole 30 year note for the whole 30 years.

I’m seeing the same shift: light cosmetics are winning more often because they turn faster, carry less contractor risk, and keep you competitive on price; they boost rentability, shorten vacancy, and stack equity if you bought right.

Even if you buy in an area that is going to appreciate well, principle paydown never really accounts for even a quarter of your capital gains, and that's if you carry the whole 30 year note for the whole 30 years.

I did my due diligence to make sure there were no liens and based on my observations months after the property became vacant, I felt the risk of redemption was low.After the auction, the estate of the deceased borrower opened probate.