If I were to do a traditional VA loan, the loan would be close to 7%.Below are what I understand to be the numbers so far:Seller purchased the property in DEC 2022 for $1.13M (owned for 2yrs)Current estimates are Zillow= $1.26M/  Redfin=$1.323MOur agreed purchase price is $1.25MSeller financing would be $120k @ 8% for 3yrs.No commission cost.Small percentage of fees/ costs in the tune of 1.5% of loan amount.Let me know what you think and if you need any additional info.

I guess it triggers the "sunken cost fallacy" part of their brain.

Well anyone can write anything into a contract, but whether it is legal and enforceable is for the courts to decide...It is State law here that a contractor must call 811 or they are liable for the costs.

Your cost basis would be ALMOST zero if you ever sold.

It was just an offer (costs extra) through a local lender I used!

Reserves: Do you have enough cash reserves to handle unexpected costs or delays in refinancing?

I would suggest you up your rate from 8% to 10% to help off-set some of that cost. 10% is doable all day long here in Texas.

Look at all of the costs and then all of the revenue and make a decision based on that. 

You still have the cost of lease renewals, but that's minimal when compared to the cost of turnover.  

This lead to piecing together payments here and there and drastically slowed the construction process and major cost overruns.