This will prevent any misunderstanding about your rent payments, security deposits, and lease terms. 1.

Mark Gallagher Did I misunderstand the guys?

I think it's great that you have some definite goals set out here, but I have to say, I wonder whether I'm misunderstanding something or if you don't have a very clear idea of what you're looking for.

Perhaps I am misunderstanding something here, but it there are tenants then there (most likely) is a lease, which must be honored by the Buyer upon transfer of the property from the Seller.

That is not what someone pays for when they purchase one of our products.the only "damage" here is from people who misunderstand and state their opinion based on that misunderstanding. 

Best of luck, I hope it was just a misunderstanding on their end and that they make it right.

Maybe I'm misunderstanding, but I don't get why the latest rent they paid wouldn't clear off their highest/latest debt. 

I guess that's the misunderstanding for many newbies.

Even if your lenders aren't familiar with the typical LTV, it would be wise to keep them at 70% or below and maybe even explain to them that you know it is common practice and want to protect their interest.Regardless of the terms you agree upon with your lenders, be sure everything is written clearly and concisely and signed by both of you so that there are no misunderstandings.

Selling has costs which some people misunderstand.