Either way, I think banking on cash flow as being the larger portion of your overall returns will be the safer bet since you can't necessarily bank on the disposition making up the majority such as when the cap rates were compressing.

It is not part of the employment package, the rent payment however was.What I would do is require that the tenant contact the employer and get a letter from them instructing on how to manage the disposition of the deposit.

It's great for people with wealth who desire to diversify into real estate but don't want to (or don't know how to) manage the acquisition, finance, management, and disposition process.

Let's say it costs 145,000 for acquisition and $2900 for closing costs.Make the the hard money lender doesn't have any points up fronts.245,000 sales price-145,000 purchase price-2900 closing cost from acquisition-25,000 repairs (get bids)-14,700 realtor disposition fee- 4,900 closing cost from disposition-20,300 interest payment for 1 year-3,000 misc utilities, insurance, pad, etc--------------------------------------------------29,200 net profit if all goes right .If seller is not wanting to sell for so little, the you may decide to work for cheaper, but either way, this gives u a basic idea of your numbers.

See Garn St Germain"A lender may not exercise its option pursuant to a due-on-sale clause upon--, (1) the creation of a lien or other encumbrance subordinate to the lender's security instrument which does not relate to a transfer of rights of occupancy in the property; (2) the creation of a purchase money security interest for household appliances; (3) a transfer by devise, descent, or operation of law on the death of a joint tenant or tenant by the entirety; (4) the granting of a leasehold interest of three years or less not containing an option to purchase; (5) a transfer to a relative resulting from the death of a borrower; (6) a transfer where the spouse or children of the borrower become an owner of the property; (7) a transfer resulting from a decree of a dissolution of marriage, legal separation agreement, or from an incidental property settlement agreement, by which the spouse of the borrower becomes an owner of the property; (8) a transfer into an inter vivos trust in which the borrower is and remains a beneficiary and which does not relate to a transfer of rights of occupancy in the property; or (9) any other transfer or disposition described in regulations prescribed by the Federal Home Loan Bank Board.

Having that equity and low loan balance rolling towards retirement is nice...heck it's nice any time if you don't need it to keep the REI pace accelerated.I track IRR through the rehab and hold period to disposition and it's easy to ignore the post-rehab ROE and have the rehab IRR carry the transaction, if that makes sense.  

I think the most important thing to get right first is making sure everybody in the family is on board with a disposition plan. 

Any other disposition would be a benefit but I wouldn't mess around with these other ideas.  

You need to WORK WITH experts who will be there through the acquisition and disposition of the asset and beyond.

You mentioned reno took 2 months but didn't mention acquisition date and disposition date where the profit was realized.On your before pictures the date stamp is from July 2015 about 1 year ago.