We are cash poor and cannot afford much good land outright, but could seek spec loans if needed. 

What are the penalties?

Hi Bigger Pocket community ,I’m seeking feedback on a 6-family property I’ve underwritten in New York .

We’ve never had to seek a payout, so cannot speak to that.

Many lenders generally have a 1-year lookback window where things will change as soon as its been 12 full months without a mortgage late (then will essentially no longer be a penalty besides any effect on FICO score)

This trend will continue as distressed assets in sectors like multifamily seek capital injections to avoid foreclosure or unfavorable sales.Mezzanine debt, typically subordinate to senior debt, offers higher returns to compensate for the increased risk.

Another problem I have is the 3/2/1 prepayment penalty. 

Be careful that you don't incur penalties for terminating with the current PM.Remember: cheaper doesn't mean you'll make more money.Start by going to www.narpm.org to search their directory of managers.

I'm seeking advice on the best way to implement this fairly and effectively.Here are a few options I've considered:Submetering: Installing individual water meters for each unit could be a solution, allowing each tenant to be billed based on their usage.

And you're doing what you can to seek solutions, which is far beyond what you need to do.My #1 recommendation is that you find a good property manager to take over until you learn a little more about how to handle renters.