I am planning on reaching out to some investors in the area to se what I could rent the houes for in this area.

If you have a 7 day inspection period, and you cancel on day 8+, you lose the deposit.You don't need proof of funds for the EMD, per se. 

Page Huyette, might have missed my question/post above, the name may help others in the area, I think we have a few in your state.Mortgage servicing of seller finaced transactions, per se, was pretty much terminated in Oh, Nb, Mo, Il, Ar, Ok, Ks, Tx and La about the late 80s, banks aren't collection agencies and FDIC saw an exposure for very little income, so just for FYI to others, don't expect a bank to provide servicing functions, it's not thier loan.

:In my name: 35% self employment tax of the 20k= $13,000 profitvsLLC Scorp: $300.00 LLC cost to form$500.00 attorney to get operating agreement for LLC (average)35% of $8,000 SE tax (40% of 20k as salary= $8k) = $2,8007% excise tax of 20k = $1,400Profit = 15,000from this simple cost analysis it is 2k more profitable doing it in my LLC.

Now if I have the business documented as 99% ownership as a limited partner and my colleague as the 1% General Partner, does this really mean she will receive 1% of the gross proceeds as ordinary income subjective to SE tax, and the remaining 99% passed through to me as JUST Ordinary income??

Thanks in advance.BTW, I would also pursue this is small claims court (depending on the amount) or take it to regular civil court and go pro se.

I am, however, looking into the future and am hoping to corner my market in a rehab niche per se.

SE is essentially social security / medicare.A flipping business is treated differently than someone renting out real estate.

So you and the other General partner would be subject to SE tax on the profits from the flip.The Limited Partner would only be subject to income tax on it.The best way to accomplish that is through the use of a partnership returns.

There is no deed restriction per se arising out of your type of loan.Other lenders may have restrictions for your buyer to be financed prior to 90 days.