@Abe Mazliach While this seems like something to possibly try to get out of, I look at it this way, they may be saving you a lot of pain and money down the road.

I did a quick look at some underwriting guidelines and here is where I see the issues.Long drawn out painful too much information version -The R2 zoning would not be a showstopper, but it is worth taking note and reading the appraisal carefully.

It's a pain and it takes time but probably worth doing.EDIT:  Sound advice from a guy that sucks at selecting reliable contractors... 

I would prefer to have PM in place as well as a tenant in place, or at least know that the deal will not close until the tenant is in place.For full transparency provide a list of comps dated within the most recent month and only about 1-2 mile radius max (we know you need to make money on the sale but would help establish trust).Communication seems to be one of the biggest pain points I read about so maybe focus on that as well.

Any pain experienced or any advice you can share?

What a pain in the butt!

Don’t downplay the psychological factor of having the mortgage paid off.

It takes alot of intuition psychology and verry hard work to sucseed in this business you have to love chalenges its kind of like paying off a 30 year mtg but the more you learn the easyer it becomes theres alot to know from begining to end most important is working for someone that you can trust if its your own business then you should do fine but you cant do it all by your self originate process underwrite track the loans etc etc etc.......

There are alot of private lender hedgefunds bear sterns etc that have invested over the last 13 years or so in sub prime and thet dont plan on loseing as far as the banks bailing people out i just dont beleve it thats a smoke screen to make the look sincere what they do is take there down payment and home and get the next guy in and take theres to if they dont man up and pay for it its not something for nothing in this but anymore you almost have to have a degree in economics to understand it confusion is there trick of the trade every business has them theres no crystal ball that says you will have your business/job/same income for the next 30years there finacials change and credit only the strong servive there is psychology within life/money please dont get me wrong a mortgage can work for you if you understand the loan witch is 2 inches thick and only a 3 day recision period but statistics say that you will refi every 5- 10 years need a new car college tuition new born etc and many many other things happen funeral and you need to consolidate and back to 30 years again they have all or most of the angles figured out or at least the important ones what you like is your fault .

It's a matter of enduring short-term economic pain versus long term pain.