Hi Jarred, I am doing acquisitions (buying) sub2 and lease options, and selling on a straight lease and pure option, and having all tenant buyers go through a RMLO regardless before they move in.

Alright, from a pure investment point of view.

@Jerry Gurley I was speaking purely on a numbers basis.

However that same lender is a little more reluctant to finance some new development flips I'm doing because they view it as purely speculative, which it is.

So you have 23 years of pure profit then.

Purely on mid city, I think this is a nice area with booming RE.

See http://www.consumerfinance.gov/regulations/ability-to-repay-and-qualified-mortgage-standards-under-the-truth-in-lending-act-regulation-z/ Even if you are just renting with a pure option, send them to the RMLO for a written opinion.

So in this case, flipping money unless enough to pay for pure rentals after tax issues and plentiful enough, they wouldn't do me any good. 

Marie...And from a purely financial standpoint, a straight sale with $400 monthly payments for 60 months will generate a healthy 39% IRR. 

If it was me I would do 5%, save the rest of the money to now have 15% of the 20% required to buy a pure rental :) But I am crazy and love leverage!