It's very rare as the banks do not want their lien on the property to get second place to a Tax auction, and for this reason usually require taxes to be prepaid in Escrow.

If it makes you nervous check your local laws about getting x amount of rent prepaid? 

You would need to put at least $27k (15%) down plus closing costs and prepaids, so I guess that's the drawback if you don't have enough funds. 

My offer includes a couple % in seller assists, landscape allowance and or pre-paid property taxes. 

HOPEFULLY the escrow “fee” is really just prepaid expenses?

The tenant had prepaid the rents and we were able to find all the documentation and shared that with their attorney today. 

Also a non-refundable deposit and monthly fee, along with security deposit and prepaid rent, amounts to a high barrier for potential tenants.

That's harder with a bunch of pre-paid rent.

Some want monthly payments, and others may want prepaid interest.

I assume I need to record the escrow so that doesn't leave much left to amortize:Escrow $2,399 (prepaid property tax/insurance)Loan Fees $1,576 (origination fee, credit report, flood cert, doc fees)Other closing costs (title fee, etc) $3,996Total $7,971Seller pd $5,000 of closing costs, where do I apply it for tax purposes?