Seller will be taking a 30k+ loss with this route.325k with 50K down to seller, 3 years of payments $1600/month, and a balloon payment of 215k at the end of 3 years.Benefits to me: (1) 10k less downpayment, (2) with the conventional route, the loan would be at 228k after 3 years of payments, so I will gain additional equity with the 2nd option since I will owe 215k (presumably I will have to refinance at that time).Benefit to seller: she gets over asking price, 50K upfront and $300/month of cash flow.Does this offer and structure sound reasonable?

Sounds like you are better off in a high yield savings account like @Dominic Mazzarella mentioned...Just out of curiosity, Nilusha, what Chicago neighborhood are your 2 flats in?

Your focus on the Dallas market and Fix and Flip projects sounds solid, especially with the DIY approach and having an interior designer on your team. 

And as long as they're current and not breaking rules in the lease, they can say rude things to me.But blasting loud music etc sounds past that.

Sounds like you guys have the potential to be an amazing property management team!

@John Postma We are working with about 5 owners that are at the same stage as you with almost identical stories.

A great lake front home doesn't have to cost a mint but it sounds like you want something that is really fantastic which will bring a higher nightly rate.

It sounds like your LLC is a disregarded entity.

It may sound nice to pay a 6% management fee but the extra fees can add up to be more than the other company that charges 10% with no additional fees.

It sounds horrible.