I realize you aren't really making payments (which is a good way to catch your sham transaction) but the note holder has interest earned, was that accrued income claimed, are you on a cash or accrual accounting system?

We kept their $10K in accrued option fees, did another rehab (a good one this time) and sold above market (got VERY lucky on the sale and appraisal).We made $3K for our 3 years worth of effort...and were thrilled

You can buy the lien and the interest accrues.

And generally, the owner will owe maore than they think, with accruing interest, force placed insurance, taxes(maybe not in this case), etc.

Why not charge $1800 monthly, explaining to the tenant/buyer that $200 of that will be placed in an escrow account and accrued monthly so that when he/she exercises their purchase option, they have a downpayment to show the bank.

you're lucky your code compliance officer is helpful....I called today and the officer would not give me any information or try to help me.she just said to look online (which i already did however sometimes violations aren't uploaded online and it can be accruing the $200 penalty per day!!!!).

Too much payment and the borrower looses return as the capital is returned faster thus accruing less interest.

Lien was filed with the county and accrued $100/day penalty, no tree has been planted that I could see at the house and no release of lien in the county record, so from the date the fines start to today equals $68,200.

If the first mortgage was recorded prior to April 1, 1992, the super lien will still be operative if the condominium declaration made reference to future amendments to the Florida Condominium Act (Chapter 718).The amount of the "super lien" is the lesser of: (a) unpaid common expenses and regular periodic assessments that accrued or became due during the six months immediately preceding the acquisition of title; or, (b) one percent of the original mortgage debt.The one-percent limitation does not apply unless the first mortgagee joins the association as a defendant in the foreclosure action.

We also pre-fund the deals, so that developers can start work right away, and investors begin to accrue interest within days of their funds being received by Patch of Land.