Example:Property: 3 quadruplex buildings on the same street with separate mortgages owned by the same owner.Sale price: 1,100,000 with buyer putting 15% down.Owner provides a WRAP of 935,000 at a 5.5% fixed rate.Loan is amortized over 30 years with a 2 year balloon payment due.Advantages I see.1.Buyer just has to have 15% down and isn't subject to an appraisal or a lender reserves and underwriting requirements and lengthy time lines to close.

Hi Jessie,Let's see....You just joined the site today, and before you even complete your profile, you write your very first (and lengthy) post which isn't an introduction, or questions about the site.

Just remember to have a lawyer handy, just in case an eviction is necessary, or worse, you wind-up with the tenant-buyer "from hell", and they tie up your property in court for months (via a lengthy eviction or worse, a foreclosure action may be needed by you!

I'm not sure its standard that there's a call if the collateral drops, I'm calling banks today and getting more details.The one drawback is the short loan terms, looks like the max fixed length is around 12 years, which results in fairly large payments.

Hey guys, I have a lengthy scenario and a few unique questions so please bare with me.

After a lengthy argument we've come up with an agreement.

I wouldn't trust the agent's assessment of repairs any more than I would trust their pro formas for selling apartment complexes....call me cynical I guess.We had a lengthy thread about the value of agents several months ago.

With an HOA, capital items can come in the form of a special assessment.Then there are less likely, but still possible items like lengthy evictions, tenant damage in excess of security deposits or big insurance deductibles.Better math would be:Rent: $1175Expenses, vacancy, capital: $587NOI: $588P&I: $378True Cash Flow ($210)That may or may not be a good rental, depending on what you have invested.

Chris, I do have everything meeting "arms length", I run everything up the attorney flag pole first, and they gave it the green light.

After a lengthy 15 month stay the place should have ...