Except you’d also have to make up the interest expenses on that extra $500k you borrow, so you have to make that plus $2,500/mo profit (another $30k) to pay the interest. 

What I think I understand now is that, for instance,, if the taxes due for the bid year are $500 and you win at $5000,  the extra $4500 is essentially pre-paid 2009-2013 taxes for when you get the deed. 

If you believe the monthly savings is worth the extra $3 grand upfront, do the buy down. 

I wrote an article a while back that has tips you might find helpful: https://www.biggerpockets.com/blog/2015-05-25-5-dominate-pro...Also check out Brandon and Heather Turner's book on the subject for a more detailed breakdown: https://www.amazon.com/Book-Managing-Rental-Properties-Scree...

I’ve listed cash flow after fixed expenses and without any extra expenses.

I would suggest following up with the PM and ask if they have proactively provided change of management details (essentially, letting the tenants know that new owner effective 03/29/2024 and were rents should be sent).

I’m not saying it can’t work because folks like Brandon Turner swear by partnerships, I’m just saying exercise extra caution.

The short answer if she has just received her voucher is no, they won't budge on their cap for what they will allow the initial rent to be, at least not without extra hoops.

I would recommend making friends with people in your work place, or school, and letting them know you are buying a home with extra rooms you want to rent. 

The primary benefit to the seller is they make more money from the sale because the extra interest payments that the buyer makes over the term of the seller-finance loan adds to their net proceeds.