In the event of default/non-performance on a CFD for vacant land in one of the hypothetical "foreclosure" states I mention above, does the land parcel have to go to auction, with bidding starting at the unpaid principle balance of the contract (plus late fees, legal fees, etc.)?

I want to verify when calculating DTI, lenders will only look at the monthly principle and interest payments for each of the 5 mortgages and ignore the escrow portion (for taxes and insurance). 

It's not just about the numbers – it's about creating win-win scenarios where both parties can sleep well at night.3 principles I've learned after 4 years in real estate investing:1) Transparency builds trust. 

I would argue that you can only save a finite amount of money when aggressively paying off the mortgage, but you have a much higher potential increase to your assets and wealth by taking that extra principle and reinvesting it into other investment instruments.

We reach agreement in principle with the seller on what we mutually want to achieve. 

There is no way of knowingMy advice to everyone is this.Stop thinking with a scarcity desperation mindset.If you think it is ok to harass 1000 people to death to get one contract signed, you really need to reevaluate your business ethics and principles.

What I mean is, the payments made to the seller, is the total payments consisting of principle/interest, property taxes and mortgage insurance all wrapped into 1 payment and made to the seller?

This seems to be less of an issue especially since when an LLC borrows for real estate at minimum the principles/owners personally guarantee the debt anyways. 

It's the same principle you would practice with a mutual fund: it continues to grow (hopefully) and you pay a tithe from the prophets received at the time the profits are received.I am not strict about this by any means, for myself or others.. what other people give is not my business and I do not believe in people giving under compulsion.

The main thing that pops out at me every month is that less than half of my payment goes to paying the principle down, over half goes to the interest, taxes, and insurance, ect.