The first I rejected because although he provided proof of insanely huge pay checks, his credit was shot due to a foreclosure and poor money management skills.The second I accepted on an 8 month lease, pre-paid.

Compare loans based on the APR, not the note rate.Points are prepaid interest, finance interest and you pay interest on interest!

By doing this, in case of buyer default, we will still get our money back when we foreclose and resell the property.c) Only lend money if rehabber-borrower has at least 10% skin in the game (downpayment) + points upfront or 6-months prepaid interests.

Armando finds 4 mentors who agree to mentor him.Conveniently, each of the 4 mentors had 1 special skill.1 was good at finding the deals.1 was good at funding the deals.1 was good at rehabbing the deals.1 was good at selling the deals.After Armando learned the business from his 4 mentors he moved his family out of the garage to San Antonio with only $1,000 to his name.Now in San Antonio with only $1,000 to his name Armando buys 3 things.A pre-paid cellphone.Business cards from Vista Print.A briefcase.Armed with these 3 items & the skills from his 4 mentors Armando finds a great deal.

The new loan amount can be no more than the actual documented amount of the borrower's                     initial investment in purchasing the property plus the financing of closing costs,                     prepaid fees, and points on the new mortgage loan (subject to the maximum LTV/CLTV/HCLTV                     ratios for the cash-out transaction based on the current appraised value).                 

A big chunk of that is prepaid taxes and insurance, some may be lender fees.  

I'm into it for about $7K after closing costs and prepaid interest.

I'm my case, most of my expenses were incurred in 1984, so my CPA had me book expenses  in 1983 for the property as prepaid in 1983, and when the flip failed in 1984, we capitalized all the prepaid expenses from 1983, and actual expenses in 1984, into the cost basis of the house when it was turned into a rental.

Resident agrees that if he/she has falsified any statement in the rental application, Management has the right to terminate this Agreement immediately and further agrees that Management shall be entitled to retain any performance fee and any prepaid rents as fair and just liquidated damages."

You're going to be into it for ~$1k prepaid financing expenses to find a worthwhile yes/no answer.... appraisal fee + HUD consultant fee.