Sounds like prescriptions for when 3% and 43% is exceeded mainly.Yes, agreed, however, need to clear something up, using "points" in discussions with seller financing is not appropriate, seller financing is funded by an amount of equity based on a sale price, it is not a cash advance or purchase money loan and points can not be charged on amounts of equity (points are prepaid interest) but can be on cash advances and, points are usually only allowed for institutional lenders, regulated brokers, banks, credit unions not individuals.

There are a number of upfront attorney fees, prepaids (taxes and homeowners insurance), recording fees and etc.

I thing most flippers goal is at least 30%.My loans have origination fee's of 1%, with other closing costs (less prepaid's) being around 1.5%.

You'll get a refund for any builders risk coverage you may have prepaid for.

If you have a pre-paid legal service this review is often a covered benefit.

To my surprise the bank came back with closing cost of $5,100 and Estimated Prepaids of $3,090 (as shown below).  

They also typically require payment upfront of additional pre-paid interest, referred to as “finance points.”

Taylor, Do they have an actual bank account tied to the debit card or is it one of the prepaid debit cards?  

Points are pre-paid interest.To start out with, it's better to buy your own home and use conventional funding.

You can cash out on full appraised value after 6 months.Prior to 6 months if you paid cash only and can source the funds to purchase.Delayed Financing-The new loan amount is not more than the actual documented amount of the borrower’s initial investment in purchasing the property, plus the financing of closing costs, prepaid fees, and points (subject to the maximum LTV).Your 90k purchase + 3k closing costs would be your max cash out prior to 6 months.Both prior to and after 6 months are based on the current appraised value.