This savings could translate into a higher return on your time since if you paid back your 49,200 and only have 20k left @12% interest lets say your month cost to hold the property is not substantially less in the absence of obscene closing costs or points.Option B:This may be an investors dream cash back 45k in your hands and a property with no skin in the game "infinite return," assuming you still cash flow with 120k of leverage on the property.A tenant would be paying your mortgage, taxes, insurance, and etc while you've retained the property, received 45k non taxable proceeds from the refinance since the asset has not been sold, and potentially making some income each month if the numbers work.120k @30 year fixed 5.625% is only about 690.79 per month and taxes and insurance I'd wager (depending on state) is probably 130 more.

They will not insure the preliminary search that they do for you and if for some reason you don't use them.  

Sometimes liens aren't found initially when the preliminary HUD is submitted to the bank for approval (such as a utility lien for a few hundred, a city lot clearing lien, etc).

Great job on the $12k, but if that's your only deal, I'd wager you missed a lot of $1k-$2k deals along the way.

By the end of the year we will have an attractive, fully remodeled 5-plex in a decent area close to the University, shops, hospital, etc..Preliminary calculating the commercial value as a function of the NOI and assuming a 10 cap we would seem to have gained a decent amount of equity - if we do not occupy the 2BR.

I have just been in the preliminary stages of financing them to tenants that live in them.

I'm going to wager at least one of them doesn't know about the POS inspection or will neglect to plan for it.

Estimated Reno is $35,000-40,000 based on preliminary estimates from 2 different contractors.

Do it myself preliminary title search on the property.6.

Lesson learned, before you sink money you can search title or ask the title company for a preliminary report, it's not a complete search and a current mortgage will pop up.