One big one is that scaling the lease option sale to a homeowner will attract both public regulatory scrutiny and private litigation, perhaps class action, once it reaches a certain threshold.  

Speak with lenders - and consider that although they might agree they could lend to you today - they might not be able to when you need the loan.Unless the existing debt has no due-on-sale provision, there will always be a risk of the underlying loan being called.If it were to be called due:1.

.- Negotiated sales price $3.2 (seller financed)- 30% DP @ 7% / 20rs.

This is more common in today's market and often allows the seller to get a higher sale price than if you were to go through a bank/SBA loan.

I'm debating to pull out a HELOC then do a Quit claim deed into the LLC but worried about the due on sale clause.

Selling costs would be 8-10% of the sales price but there should be an estimated proceeds sheet that would show you costs.

He can spend the next few years-ish getting a finance degree through an online school while working part time, but he just got offered a full time position helping with sales for a local wholesale real estate company. 

Quote from @Paul Lucenti: We just closed on our 9th deal and first of 2025 - sales price was $115,000 and total monthly cost is $890. 

@Tony Thomas So, is the seller increasing their sale price in exchange for a 0% interest rate?

You're then stuck in a cycle of offering concessions every year to fill your building because you were too ambitious during underwriting.