@Cara Kennedy in your report you have principal payments only for 30 years.

I've been crunching some numbers and it's not looking great for positive cash flow, and we're already paying an additional $500/month on the principal.

It's not a grey area...just because you didn't rent it for 2 years doesn't make it your principal residence. 

Now, I dont have that capital yet being 20 so my plan is to borrow private money from family in the amount of 60,000 at 7% for a year, with interest and principal due at the end of that time.

In the first 10 years you are not required to pay any principal, which is something that would help you during the renovation phase of a property, and then when you are done, all the benefits of a regular HELOC become available.

If I don’t have to pay principal payments for the first several years it would increase my cash flow and potentially make the deal make sense.

The note will be refinanced as part of a redevelopment project, and the developer's construction loan will take out our loan at the full principal balance, providing a capital gain in addition to the monthly cash flow from P&I payments.

ARV $180-185kOutstanding Principal: $117.7kIn rears as of 9/01 $16,832.21$5,000 to seller17 years left in mortgageApprox. all in of my money: $30k to bring current, money to her, minor rehab

Their rent will remain the same ( but they will own and can refinance once they are able to get a mortgage)Additionally, they have a 10k down payment to apply to the principal, I will cash flow 348.00 monthly.

Purchasing a duplex...can’t decide if should go with 15 years or 30 years. 15 years = less income but done in 15 years so more goes into principal; 30 years = more income but very little goes into principal.