If you need financial help, ask under the "Finance, Tax, and Legal" forum.

I would think in most situations the original owner is in financial trouble, probably delinquent on their mortgage and facing foreclosure.

Hard Money Loans are generally speaking institutional money so they make the rules and you either like it and take it, or move on to another lender.

If you truly enjoy property management, it might be for you, regardless of financial consideration.If evaluating the question purely from a financial standpoint, it comes down to the value of your time. 

I’m happy to be in a forum with fellow investors and people wanting to master real estate.  I enjoy hearing about peoples’ personal wins and innovative, creative strategies.  I hope to be able to contribute to other p...

@Zach Denny - I agree - chances are the institutional lender won't be comfortable with an owner-financed 2nd and 100% combined loan to value.

I have a renter in there now and am wondering if a cost-seg makes sense to do financially as I am planning to keep the place for 10+ years. 

Great tools that get updated regularly.I am on the lending side of things and would be happy to hop on a call with you anytime to discuss financial strategies and help answer any questions you may have about nearly any loan product available to help you on your journey, even if they are not products my capital partners offer.We are all here to help you learn and grow.

Also, the whole point of hiring a PM is to handle tenant, maintenance, and rent collection, so if your partner isn’t actively managing but just supervising the PM, IMO not worth having a two people essentially looking over the same tasks.Contributing financially for one person and the other having no financial stake raises decision making questions, such as when to sell, how profits will be distributed, etc.

Over time, I’ve accumulated more cash reserves and don’t need as much flexibility, but I’m actually in the middle of a refinance right now using an interest-only mortgage—because the pricing with the lender and the corresponding ARM is more favorable than a comparable principal-and-interest loan.The key with these alternative or "exotic" mortgage types is that you need to be financially savvy and have a solid plan.