A financial mathematical fantasy in an idea situation in a typical town.  

Whatever path is your choice, some mathematically more sense and other more life sense.

I've done the math in the past, and generally it plays out such that going FHA is mathematically identical to having a normal 30YF at 80% LTV, and a hard money 2nd position loan at an interest rate north of 10% for 16.5% LTV (CLTV 96.5%, which most FHA loans are).

The rest is really a mathematical equation. 

@Dan D.I think the short answer is that it is an Emotional reason rather than a mathematical one.

There are not thousand of posts per day in the Marketplace... maybe tens and tens.There are folks in marketplace that are allowed to place egregious mathematical lies to try and capture buyer.  83% APY... come on!

But, there are ways to think in less mathematical and more "liberal arts" terms which outline the same thought pattern as the IRR.

Your advice is so narrow minded to full time or homebased investors I can't believe that I am the only one that ever sees this when they read your posts.I will never personally throw away a 15% COC return because it doesn't meet some ridiculous forced appreciation projection, or whatever other mathematically self-stroking overly analytical criticism can be thrown at it.  

Pick out a few that suit your needs and really go into the mathematical details of each.

Also, because of the number of properties we own and my personal tax breaks I actually think from a mathematical perspective it makes sense as I would guess this investor is in a higher tax bracket than I am in.