Sounds like a big misunderstanding.

@Michael Dunn - lucky for you, you have some misunderstandings of income, expenses, and taxes that are going to make your tax situation a lot better than you fear.

The Advantage of a Written lease Agreement, By Nancy NevilleYes, this article is pertinent to the above question:  Please read on:The advantage of a written lease agreement is that it is a written record of the Rental Agreement.A written record is a permanent record which may be used for reference if misunderstandings arise.

Putting it in writing will help to avoid any misunderstandings down the road.Second, if I understand correctly, you're each putting 50% in, and I assume sharing the income 50/50.  

That way no one can misunderstand representation.  

I received a call today from the title company stating that the attorney called in today with a misunderstanding thinking that we were closing today (Thursday, 6/30).

To be clear, I have no experience with this loan type, so maybe I am totally misunderstanding the process.Can the bank actually control the work I do, meaning can the bank say that the homeowner can't do the work, or is the stipulation actually that the homeowner can't do the work and then take a draw from the renovation budget.

Details of the debt would only be considered/become relevant for e.g. cash-on-cash return or, and here it goes again: for your taxable income (see above).Maybe this answered your questions (and possibly misunderstanding of NOI).

I did misunderstand what you were saying.

Just because I can afford to be wasteful doesn't mean I will.Lest someone misunderstand, though I am frugal, I am neither miserly nor stingy.