On the next June 1st, the deposit becomes non-refundable by agreement and the amount is goes to deposits earned and may be treated as rents received, a prepaid rent on a cash basis.

Is it correct of me to not add Prepaids and Reserves into the Proforma so that it affects Initial Cash Investment?

MAYBE at 25-50% additional rent, the largest security deposit and most prepaid rent allowed in yoru market, with a personal guarantee from anyone associated with the corporation.

In your above scenario you go with delayed financing but you would be limted to what you purchased the property for plus closing costs/pre-paids or 75% loan to value what ever is lower.

I re-issue the lease carrying over and showing amounts prepaid on the first page.

I negotiated those for 6 month Zero interest so they pre paid for the logs. 

What is a reasonable amount for closing costs on an $80000  investment property including prepaid taxes, insurance, etc,?

@ ryan - you have option  ….you can make the new conv. loan the same as the  payoff bal for the FHA loan   or you can  make it slightly higher if you want to roll in any loan fees / costs / prepaids so you don't have to bring cash to closing

Depreciation (Calculation) - Is it as simple as adding purchase price + prepaid closing cost (half of attorney fee and full HOI premium paid with credit prior to closing.

Then we wired $26,805 to Genie Investments for prepaid bridge loan interest ($21,444) and a Zoomeral origination fee ($5,361) on January 10, 2023.