., while John has a lot more experience than I do, and no real estate investor wants to be a restaurant operator, there are some upsides to Option 1, as I see it.The lower base rent could allow the Option 1 tenant to remain open throughout a recession, while option 2 may decide to close down the sales drop, if rent is too high.But beyond that, are a lot of factors that I would assess:Who is the actual guarantor on each lease?  

How should I proceed if the terms will remain the same?

It’s a great moment to explore what's out there, weigh options, and go for the best fit.For sellers, a slower pace might mean adjusting expectations, but the demand remains steady.

If they fail to pay this option, then the option will be removed and they will remain as simple tenants.

One option is to have the buyer use a loan to buy out your existing mortgage, and then you can carry a second lien on the property for the remaining balance.

Given that the house is paid off but has $27K in back taxes, you could offer to cover those taxes upfront in exchange for favorable terms on the remaining balance—like low (or no) down payment, and small monthly payments.You could also negotiate for a subject-to deal where you take over the property subject to the taxes, while still securing control of the property for your BRRRR strategy.

Personally, I’m seeing a lot of interest in fix-and-flip projects and long-term rentals, but financing remains a key challenge for many.

So for the example above, the payment would remain the same until maturity but you'd also be paying interest on funds that you haven't used yet. 

Hi Aya,The value of the home will remain consistent with all other comparable homes completed in an appraisal. 

Changing the method of deduction might slightly alter your taxable income, leading to a small increase in taxes.Bottom Line: The slight increase in taxes could be due to how different deductions interact with your overall tax situation, even if the total deduction amount remains the same.2.Is It Worth Amending Previous Years’ Taxes to Change Purchases from Depreciation to Expenses to Avoid Future Depreciation Recapture?