And as the OP suggested the owner of the deed can "redeem" the ground rent so that for one lump sum they (and any subsequent owner) never have to pay ground rent again.I personally hate ground rent. 

They could show regular payments and subsequent attempts to pay. 

@Pankaj Aurora, until I read your Option 1 subsequent 80% LTV strategy, I was thinking: why isn't he asking about borrowing against the paid off rental? 

I'm certain that the reputation I developed by honest dealings and timely payments with the bank(my primary lender) led to the consummation of that 10 unit deal(which I subsequently refinanced with the same bank about 2 years ago.)Good luck!

So, Suz, in addition to showing the commissions or points on the HUD, you must also show the subsequent transfer of the money from the RE broker or Mortgage broker back to you.

Of course, I always get commercial loans because I'm involved in a commercial enterprise.

I'll posit some more hypothetical situations in subsequent posts.

Each subsequent post does not follow from where the previous one left off.

Hi all, I'm looking at a Subject To deal at the moment in TX and one question I have is whether or not you typically need to change the home insurance policy when the property is subsequently occupied by someone who has a rental agreement and lease option.

`(k) Equity and Appreciation- `(1) FIVE-YEAR PHASE-IN FOR EQUITY AS A RESULT OF SALE OR REFINANCING- For each eligible mortgage insured under this section, the Secretary and the mortgagor of such mortgage shall, upon any sale or disposition of the property to which such mortgage relates, or upon the subsequent refinancing of such mortgage, be entitled to the following with respect to any equity created as a direct result of such sale or refinancing:`(A) If such sale or refinancing occurs during the period that begins on the date that such mortgage is insured and ends 1 year after such date of insurance, the Secretary shall be entitled to 100 percent of such equity.