I'm guessing I can't be the only one...How do people find comfort in knowing the interest payments, over time, could even exceed the original value of the loan?

It then digitizes the information and stores the original for you.

I am on the same boat, and tried to use my business purpose loan origination experience and they still need signatures from a broker verifying the hours and time periods. 

I have cleaned up a number of these deals over the years.. they are all great when they are working and everyone is on the same page but when they are not.. there is extreme risk to the original seller especially in Texas were a bank or lender can get a money judgement on purchase money loan.. out west not so critical original seller just gets their credit trashed if it was not already.. but there is no money judgement available to the lender for a purchase money owner occ loan in first position.

I am thinking instead of making the tenant sign all of the paper with new LLC for next three months, I should make her sign an addendum that states - She acknowledges that original lease was signed with KY LLC ( of course we will insert the real LLC name) and now the property is under new LLC.. so nothing changes,  all contracts , obligation stays the same as with the old LLC.Two questions:1.

Part of the reason I'm attracted to Huntsville is the thriving aerospace, defense, and technology sectors and all the new developments such as Toyota's manufacturing plant, Blue Origin investments, and Facebook's Data Center for example. 

This way you have a property where you have taken your 20k, you used some HELOC money and credit card money that both got paid off when you refinanced the property and you still have about 10k of your original 20k that you started out with and now you have a cash flowing rental that also has about 40k in equity.That's how you do it.Good luck.

Granted, I'm biased.I originally built it for myself.

The original layout had large upstairs bedroom with walkin closet.  

@Raj G.Default Interest rate is a different rate than the original loan terms because the borrower didn’t repay the loan per the loan terms.