Hi Chris, if I understand the transaction it sounds like you will receive a 1099-S for the full amount.

If it’s over that amount they’ll send photos and quote that you can accept or shop around. 

There are people who buy a longer term (12 months or more ) OPTION giving them a RIGHT to purchase a subject property, at a certain price, within a certain amount of time, and attempt to either sell the option for a higher price or close on a simultaneous purchase and sale to an end buyer paying a higher price.  

Depending on state law the buyer will have a certain amount of time to remedy this violation of covenants. 

I am going to wait until rates drop a decent amount and sell my former primary, which is now a rental, at a premium.

Now this depends on how much you want to raise, if its $1M yeah that can be done, if you go above $5M you are gonna need to spend money and I would assume someone starting out 10% of that amount to get there.

Thanks, He either has to give you the deposits or he has to give you a line item credit at the closing for the amount of the deposits, so that you can set aside the resulting credit money.The funds are NOT his.

Paying this annual amount is way to support their goal and I am on board.  

As I was driving and not doing my daily job, it gave me some time to reflect on how much time I could get back for a seemingly small amount each month.

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.