@Marc WinterI would say, I would kind of need to structure the deal is such a way, or atleast, considering my financial situation, it would make the most sense and have potentially less risk than using a HML, insofar as the concerns you mentioned can somehow be addressed within the contract.The house in question has an ARV around 225K, around 25K in repairs and I would offer to buy at no more than 140K.The 10K I have to work with would not cover the downpayment on a 140K loan at 10% with a HML, unless I structure the deal with partial seller carryback on a note for 50K payable after the sale is complete, in which case I would need a loan only of 90K which would leave me 1K to cover interest payments, assuming points are rolled into the loan and a bullet loan is not an option.She is my neighbor and I'm on very good terms with her.

I like to use a famous person's quote on why learn IRR:"We choose to LEARN Internal Rates of Return (IRR) and do the other things, not because they are easy, but because they are hard; because that goal will serve to organize and measure the best of our energies and skills, because that challenge is one that we are willing to accept, one we are unwilling to postpone, and one we intend to win, and the others, too."

She opted, like many lottery winners do, to take the smaller lump sump payment up front, rather than the time and energy associated with taking payments over time (i.e. selling them off one by one at a higher "market" price)The appraiser didn't care and used comps from foreclosures, that had been flipped after being purchased, from 2-3 years ago.Appraiser, like anyone else, do things for unexplained reasons some times.

If you have the time and energy, it wouldn't hurt to do both.

Georgia REIA is a non profit with a good mix of investors and SouthAtlantaREIA is the young one with a lot of energy.

That’s lost rent, potential damage to the property and your time and energy.

I just started diving in to all of the content and it has already given me a new energy and excitement to continue to grow my portfolio .

I believe he also has an umbrella policy too, so he is about as bullet proof as you can get.Financing and paperwork is simpler the way I am doing it. 

When I finally bit the bullet I had a company come out and give me a quote.

Thank you to everyone who chimed in, this has been SUPER helpful.I've been able to negotiate returning half of the deposit with the tenant so I am going to bite the bullet and pay that out of my own pocket.Going forward, I'll remember this as a lesson to make sure this is covered (I'll definitely be buying more properties in the future).Thanks again!