There is no difference between building this in up front and accruing interest until the capital event. 

Once you are in the air (to stay with the metaphor) and at a decent cruising altitude of 10-15 five star reviews- now you raise your rates a little and start to pay off the accrued debt from furnishing the place.

People are typically short because they overpaid and had to resell quickly, they accrued massive arrears, or the market declined and it put the value upside down.

The house has not been formally appraised, but based on the data I've researched I can confidently predict it has accrued some equity. 

From there we go into a cycle of equity accrue, plan a future liquidation of properties, tapping such gains, 1031 profits (if no Biden) into a singular Class B/A commercial residential complex, say around 200 units.

I've been investing in Philly as a remote investor for the past 2 years by accruing buy and holds (if I close on the next two I have under contract I'll be at 15 units).

Both systems do not allow the buyer to accrue equity in the home as is typical with a true note.

Please let me know what system you have set up through Cozy to collect accruing late fees.

I've sent multiple requests asking for current pay off as interest is accruing daily.

But even this structure, you can let the interest rate accrue over the term and pay off the lump sum upon sale, you can pay monthly interest payments (this is the most common), or some combination of the two (pay 4% interest during the hold and bring to a cumulative 8% return at sale).