If he can't find help that way.......try Pre-Paid Legal.

I also am an proud entrepreneur and Manager with Pre-Paid Legal Services - a service I believe every investor should have to help protect their assets and their families as a result.

Usually 6 months interest if prepaid in the first two years.

In residential properties, investment and personal residence, most lenders will allow up to 3% of the sales price to be contributed towards closing and pre-paid expenses by the seller. there are some with higher amounts, some with none, and if you get into commercial it's a whole other ball-game!

Items such as points, attorney fees, appraisals, credit reports, prepaid interest, homeowner's insurance, title insurance, and reserves the lender collects for future taxes and insurance.

I thought I did pretty good when I just picked up a Duplex a couple weeks ago that was listed for $359,900 and I got it for $345,000 plus the owner is paying $5,000 towards closing costs and pre-paids plus two pages of work on the place that was caught during the home inspection.

First, I would subscribe to Pre-Paid Legal.

In fact, our closings are also Construction Draw #1, and all borrower pre-paid items (architectural, survey, engineering, etc.) are drawn down at this stage and either credited to borrower equity requirements, or paid to the borrower.New Construction/Substantial Rehabilitation Insured Loan Program offers more favorable terms than traditional two-step construction and permanent financing.

This is handled just like any other prepaid item like taxes.Leases run with the property, not with the owner, so you are locked into honoring the (financial and calendar) terms and conditions of the old lease.

I would finance the tenants at 8%-9% with $3K downstroke and about $600 in closing costs and prepaids.