Concerns: Although the cashflow is good, we weren't sure it's valuation and potential for appreciation since there is no good comp like this property in the area.

I’m mainly concerned about the rate change happening without prior notice, especially since both loans started and are closing on the same day.I’m scheduled to sign tomorrow and close on Friday.

Depending on where it is, your biggest concern should be will the new furnace, AC and hot water tank will still be there after you close.

Thanks, and that is what I’m so concerned about, is issuing 1099’s (either myself or CPA) in error and really causing a mess for the person receiving them.

Folks with zero experience unless that have CASH to buy the land and build are not going to do anything with the information without financing and well vertical development financing is basically not available  for beginners.

My only concern is the ammount of rent you are paying.

I see the concern though...

It's not the reality for most and if more beginner investors had the correct mindset they would make better and more informed investment decisions.

Start with BiggerPockets Ultimate Beginners Guide (free).

Title changes or profit-sharing arrangements could raise concerns if they violate owner-occupancy or primary borrower rules.Financing in Your Name: Since the 203(k) loan will be in your name, you’ll be fully responsible for repayment.