If lots, then keep good records for contributions, draws and equity splits.Revenue:Rental IncomeOther IncomeExpenses:HOA FeesMortgage InterestProperty InsuranceProperty TaxesRepairs and MaintenanceProfessional Fees (such as accountants and lawyers)(Anything else on Schedule E that you doOther:Interest IncomeFlipping Business should include:Assets:Cash AccountsMortgage Escrow Account (if appropriate)Projects in Process (one for each project, ideally)Tools and EquipmentDeposits and Prepaid ExpensesLiabilities:Accounts PayableMortgage Payable (one for each property)Other Loans PayablePayroll Tax Liabilities (as applicable)EquitySame as aboveRevenue:Property Sales RevenueCommissions Revenue (if applicable)Cost of Goods SoldProject ExpensesExpenses:Most of your job expenses will be recorded in Projects In Process as an accumulated asset and then moved to Project Expenses when you sell the project, so there's no real need to separate out expenses such as Materials, Subcontractors, Holding Costs, Utilities, etc.  

You'll need to raise much more than that because you'll have to cover closing costs, syndication costs (remember the attorneys we talked about), any needed renovation or deferred maintenance that needs to be corrected, the first year's insurance will have to be pre-paid, utility companies will require a deposit (and for 100 units it's not a small deposit), the lender's tax and insurance escrow will have to be funded with a couple of months cushion, and you'll need capital reserves so cash flow isn't too tight. 

Prepaids and escrow account balances can skew this number. 

In addition, there are separate legal requirements for handling a security deposit, the failure to satisfy any one of which subjects the landlord to TRIPLE damages if it is raised in court.I just did a quick check for NY, and it appears there is no statute in regard to prepaid rent:NY Rental LawsBUT, when it comes to landlord-tenant law, it pays not to assume anything, so I'd strongly recommend contacting an attorney for a definitive answer.

My contract has pretty strict stipulations for reletting, and I think I will see the best 'value' overall by giving in and returning the prepaid rent once a new tenant is found.

A horse of a different color.There is no way around usury laws as they are based on the APR and the APR includes any fee, expense, points (pre-paid interest) or cost paid to obtain the loan.Charging a flat fee, like $3000 is simple computed as points would be, the fee divided by the amount loaned equals a factor, the same as points.

Forged Leases for Lower money, Pre Paid Rents, Extended Leases At Lower Rents Ect.

She is using a pre paid legal service and thats what they suggested as far as the deed in lieu.

And again a level lot no wild foundation work.Sale price 725k kind of in the middle of what your thinking200k for the lot50k permits all in ( just a wag)220k to build house.20k cost of capital I did that at 15% apr for 7 months50k for closing cost and sales commission I would think you could negotiate lower commission I used 6% for commission and 1 % for your closing cost and maybe some seller prepaids.20k contingency.$560,000 grand total < 725,000> Net profit 165k This assumes you got 100% financing on the 470 build cost.. so your return on investment cash on cash with no money out of pocket is well pretty good..

In your bookkeeping, I suggest establishing a pre-paid account under the tenant's name.