You're asking somebody lend you a lot of money, collect 1% interest on it and get 10% of any upside but take 100% of any downside.  

So back to my last example:Joe buyer offers $100,000 and his agent collects a $3000 commission netting HUD $97000I offer $97005 and place $0 in the commission.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Many lenders will require a 12 month lease to be in place along with the security deposit and first month rent collected. 

Your efforts are counted as one "individual," so both of you collectively need to meet these thresholds to qualify for material participation and potential tax benefits for your STR.

Collectively between our personal residence mortgage and rental mortgage we are at a 50% LTV ratio.  

You will need to collect mail there and have your license note that address as well as living there to check that box.

But, you can also collect for repairs, because those are also considered "permanent improvements." 

Basically from what I understand you collect a few thousand option to buy that is no refundable.