This depends on how quickly he wants to grow his portfolio.Its always great to be liquid and use the money to make more money.

response : yes with possible arvcoc -> myself yes, for the amount of cash you are dishing out ( only my 2 cents - prefer at least 10% - 12% )quick glance : do you have snow removal  in your number or part of property management percentage ?

This is for the average investor as well, if you can show you don't need a loan, you can probably get 75%, but your debt coverage ration will be going up, so, how rich are you?    

Giving my financials a quick overview, he stated that he was not sure I could get pre-approved based on my income alone that I would have to include the rental income on both properties.  

Hello folks;I have a question regarding a new rental in South Jersey (Burlington).-Lease:  ?  I was considering ezlandlordforms NJ specific lease package. However, the lease doesn't explicitly state spell out terms of...

Your monthly cash flow could disappear quickly if rates go up at all.  

@Rich MahreWelcome to the BP family!

Later, it's sold and I receive 20% of the net profit.This is purely a money deal on my end (no involvement in rehab or rental).Question - If the property sells quickly (say, within 3 months), and since my profit is paid through a security agreement (I never have title to the property), how would this be treated for tax purposes?

@John Thedford Yeah they seem to be coming in quite quickly.

Thank you @Josh Mitchell for quick reply, I'll ask the lender these question.