Here are the details:A friend wants to sell us their house that currently has a VA loan mortgage.

It's no different than their 2-year, low interest rate teaser houses.

Private Money or Hard Money LoanHow it works: Short-term loans from private or hard money lenders to purchase the lot and finance the construction.Benefits: Easier approval and faster processing, focusing on the property value rather than your income.Downside: Higher interest rates and shorter loan terms (typically 6-18 months).

The platform's main focus is processing mortgage documents in their raw form to extract specific financing terms for all properties in the city.

The effort to foreclose, the limits on rates, etc.Maybe a unicorn to find HML that will loan him the necessary money, but I doubt he will find it.  

This is most of the depreciation you are taking year one.You can calculate your depreciation recapture by taking the sale price of the asset and subtracting the adjusted cost basis.The adjusted cost basis is what you paid for the asset plus any improvements you made along the way minus the depreciation you took along the way.The profit above this original cost is taxed as a capital gain, but the part linked to depreciation is taxed at a maximum rate of 25% under the unrecaptured gains of section 1250.To recap the tax rates are:- Sec. 1250 real property: 25%- Sec. 1245 property and 15 year 1250 property: Ordinary Tax RatesThere are ways to minimize depreciation recapture especially if you know how to work smart with your CPA.1) Asset Valuation at Time of Sale - Sellers can minimize recapture by reallocating the price of the assets on sale.

Traditional 30 year investment property home mortgage at 3.25%.What was the outcome?

My mortgage is $2450 monthly.

Potentially lower down needed of 15% with better rate and 6% cap in IPC’s

You have to put more money down and pay a higher interest rate and is limited to only 2% IPC.