While we purchase older properties (50 - 120yrs) as that is the inventory of the areas, all of our properties undergo a energy efficiency retrofit ... not merely installing electric baseboards and offloading the task of heating a 100 year old house with no insulation to the tenants.We also inspect our student properties quarterly {students never report issues}, fix any issues and damages as we find them, then bill the tenants immediately for anything for which they are responsible.If you use quality, durable - but not necessarily fancy - materials; have everything spelled out in your lease & house rules; and inspect your properties regularly, student properties can be very rewarding.The focus on the young professionals was based upon the part of the city in which we were looking ... we then renovated those units to be energy efficient, yet retaining some of their Second Empire and Victorian allure.

That's actually two questions...If it's non-refundable, technically you can do what ever you want with it.As for how you account for it, that's a negotiation between you and the seller.Would suggest you have a written document that spells out what you're both agreeing to with respect to the money.What I teach is that you get a minimum of 2X what you put up for the deposit/EMD.As an example, if your EMD is $1,500, then you should collect $3,000, non-refundable.

sorry for spelling your name wrong in the last post Meaghan.

Spell out exactly what is expected and how much it is going to cost you.Who collects the rent?

Even more so if you have transactional lending spelled out in the terms of your HML.NOT LEGAL ADVISE

Sometimes they will misspell the mortgagee's name, and you don't find it searching by the correct spelling,  it's rare, but I've seen it, and auction bidders got a nasty surprise.  

The restoration requirements of the city, the county, the state, the Feds, and any local organizations who may be interested  - same to be spelled out in Exact detail and not just the vague  "to historic standards"  mumbo-jumbo nonsense they try to slide in on you.But in the end I think you will find that if there was a dollar to be made here - the developer would be doing it.  

If they are then formation of interest and how property is held plays a key role for the partner on acquisition and disposition down the road when they want to get out of it into something else.The attorney generally draws up the operating agreement that spells out exits later on for the partners.What the lender will expect varies based on deal size.

You have to clearly spell out where the responsibility lies-- skill that was most difficult for you to learn - When to DIY and when to hire it out.  

Anything from a lender, is a "preapproval", and would need to spell out such terms.