But the IRS says, NO - the first dollar you take out or any amount you reduce your debt by is gonna be profit first. 

We did the upgrades over two years to reduce the burden.

I'm reducing the footprint and repricing....

We have reduced the price once so far. 

Properties that prioritize energy efficiency, environmental impact, and health and wellness features are becoming increasingly attractive.Key Takeaways:Retrofit existing properties with green technologies to reduce operational costs and attract eco-conscious tenants.Incorporate sustainability and wellness features in new developments.Flexibility and AdaptabilityThe future of CRE demands flexibility.

This, of course, is not what the attorney wants, as he wants to reduce the number of creditors at issue so that his client can exit bankruptcy with no debts or keep some assets.   

That high down payment of $100,000 also helps reduce the risk quite a bit since it gives you a good chunk of cash right away and reduces the loan amount your buyer needs.To get a clearer picture of your return on investment (ROI) and your annualized ROI (CAGR), let's break it down step-by-step.### Initial Calculations- **Initial investment:** You bought the house for $235,000.- **Sales price:** $315,000.- **Down payment received:** $100,000.### Loan Details (After Down Payment)- **Amount financed:** Sales price - down payment = $315,000 - $100,000 = $215,000.- **Monthly payment from buyer:** $1,394.49.- **Loan term:** 30 years (360 months).### Calculating Total Returns- **Total payments received over 30 years:** $1,394.49 x 360 = $501,816.40.- **Total amount received (including down payment):** $501,816.40 + $100,000 = $601,816.40.### Calculating ROI- **Total profit (not accounting for costs like maintenance, taxes, etc.):** Total amount received - initial investment = $601,816.40 - $235,000 = $366,816.40.- **ROI over 30 years:** ($366,816.40 / $235,000) x 100 = 156.09%.### Calculating Annualized ROI (CAGR)The formula for CAGR (Compound Annual Growth Rate) is:\[ CAGR = \left(\frac{Final\ Value}{Initial\ Value}\right)^{\frac{1}{Number\ of\ Years}} - 1 \]In your case:\[ CAGR = \left(\frac{\$601,816.40}{\$235,000}\right)^{\frac{1}{30}} - 1 \]Let's calculate this:\[ CAGR = \left(\frac{601816.40}{235000}\right)^{\frac{1}{30}} - 1 \]\[ CAGR = (2.56)^{\frac{1}{30}} - 1 \]\[ CAGR \approx 1.0303 - 1 \]\[ CAGR \approx 0.0303 \text{ or } 3.03\% \]This means your annualized return is about 3.03% each year over 30 years.

The sellers have already reduced the prices, but they're still higher than the estimates on Zillow.

Saves the buyers money because they would not have to pay for an inspection and reduces surprises.  

A seller credit reduces your cap gains... or having the amount in escrow shows your commitment to the improvement.Others might have better ideas.