Whats comical is that ALL the fight is about the rooming house situation, which arises from me having signed individual leases for each room which causes this "illegal occupancy" attack.

You can use paper and pencil and still get the what you want out of it and documentation to prove it when the need arises.

I plan to house hack a multi family and am trying to learn about the unique issues that arise in this climate.Can anyone provide information on the following as it pertains to REI?

Hi Nick,I say give it a try and see if it works out.You'll never know unless you try, and anything else is just guessing.Nothing in this world is perfect, and if some issue arises between the two of you Work it out. 

Unfortunately the warranties in such a deed are only as solid as the seller's ability to pay for any defects that arise... and this is why 99% of our buyers purchase title insurance.

I also thankfully had a very motivated seller, that I knew if I messed up she would honor my effort and only sale to me, regardless of any potential back stabbing efforts that may arise once I go public & waive the contract around FOR SALE.

It has come through and they use rather pay a small monthly expense then have cash sitting, waiting to pay for problems that arise.

To me those returns are roughly equal.I still have dry powder in case an opportunity arises.

Arguments for a 30 year loan: (1) You lock in your fixed payment in "2018 dollars" for the next three decades, when that $700 will be worth a lot less (Jason Hartman calls it "inflation-induced debt destruction")(2)  Since your payments are lower, you have increased cash flow that can be used to deploy capital into new projects(3)  If unexpected expenses arise (personal or business), you have an immediate source of regular cash flowArguments for a 15 year loan:(1) increased equity over a shorter time horizon(2) cheaper interest rate(3) owning property "free and clear" still in your prime years and the lifting of psychological burden of debtIt really depends on your personal strategy and where you want to place your risk. 

The only reason I say this is because even if you base your profit based on the MOST conservative numbers, there are always some sort of unexpected incidents that will arise throughout the process, and there needs to be some sort of reserve capital set aside for that.