@George Frye No, you can't go by annualized payments and call it good in the note business, you need to amortize the loan applying payments first to accrued interest and then to any late payment, if any, then to principal for each period.1st payment period; 25,000x8%=2,000/360=5.56x30=166.67500-166.67=333.33 (subtract late payment if any)= application to principal, here it would be 25,000-333.33=24,666.67 for the balance of principal for the next period.2. 24,666.67 x 8%= 1,973.33/360=5.48x30=164.44500-164.44=335.56.24,666.67-335.56=24,331.113. 24,331.11x8%=1946.49/360=5.41x30=162.21Say this payment was 1,0001,000-162.21=837.7924,666.67-837.79=23,828.88 is the new principal balance for the next period4. 23,828.79 x 8%.......and so on.Notes are on a 360 day basis, divide by 30 for each period.

My gameplan is going to be educate myself as much as possible over the next year or so while I put money into my 401k(company matches 5% so I don't want to pass on free money), Roth IRA, and accrue capital to approach my first investment well equipped.

This may be true, if the HOA fails to intervene, but it does not affect the outstanding, and continually accruing, HOA dues.

I have been reading the site and other real estate blogs (123 flip, etc.) and I have read the Complete BiggerPockets guide as well as Rich Dad, Poor Dad so I am accruing some knowledge.

Distributions are only made as cash flow allows, and undistributed investor allocations accrue and are either paid in future quarters, or to the extent that they remain unpaid at the exit, from the proceeds of the sale.

Accrued interest and late fees, unpaid taxes, unpaid insurance, (have you checked?)

This is often called "total return" and also includes accrued equity and any other factors that impact the bottom line.The big reason for this is that your tax implications may be vastly different than my tax implications, even on the same deal.

I'm surprised that you have accrued over 500 postings.... perhaps you just woke up on the wrong side of the bed today.

If I accrue $15,000 in cash flow, and $65,000 equity in 100 months with a total investment of $21,194.........that is a 377% return over 8.333 years.

The benefit of the long term loan would be that the money is constantly accruing interest, while the short-term flip loans will be on and off repeatedly.I'm now thinking a 10-yr / 10% investment for my long-term deals.