It is a good idea to review the contract with an experienced attorney to make sure you are protected.If there is defective work, a written contract will be vital in bringing a breach of contract claim, so you can claim the work is not in compliance with the contract.

In the case of the student housing there is no dividends until refi at year 2 then a large portion of principal is returned then divideds after that.

Typically if you call them back, it'll be too late.So I never tell anyone its rented or stop showings until I receive that hold deposit.The hold deposit is not some additional fee - its a portion of their security deposit paid in advance.

Normally I wouldn't be targeting this one, just hard to pass up the discount + 10k year in "gifts" on the seller financed portion. 

 - you discuss no compounding and I can see this argument for unleveraged purchases but if I use fixed financing leverage, I fix a large portion of my expense and in effect I get some compounding effect.  

There's been maybe 2 built in 5 years here. they are called Tri village self storage. the climate controlled portions are normally vertical and at least 4-5 stories and normal walk up doors are single story. there is some smaller units but real climate controlled development is vertical not horizontal. 

While that does mean you'd have less dollars to use, and therefore a loss to the time-value of money, it's relatively small portion of the money put into the policy, and only closer to the start.Yes, there's interest if you take the money out of the policy. 

But I'm an investor agent & a buyer's agent that doesn't buy the idea that Hud has recently implemented a nationwide no-disclosure policy where listing agents are now kept completely in the dark through the most vital piece of the sales process that HUD once relied on for years. 

@Jonathan PalumboI agree with @Ko Kashiwagi regarding the cash out portion. 

Below is where the confusion may lie:-The Borrower must occupy the second home for some portion of the year-The Borrower must keep the property available primarily (i.e., more than half of the calendar year) for the Borrower’s personal use and enjoymentLooks like that was updated in May 2022, I closed on mine in March 2022 so my rider only included the first of the 2 bullet points above, so maybe they added the 2nd bullet point after?"