Liberty is a prime suburb so more of an appreciation play.

So having a borrower sign a deed in lieu AS A CONDITION FOR MAKIMG A LOAN is not going to stand legal challenge.  

That higher interest will be a lower cost than the closing costs for the refinance so a net gain (depending on your new loan size). 

I would suggest taking the route of option 2 or 3, so not only are you saving over 10k in rent per year but the residents help in paying down the debt.

Hello @Melissa Sejour,Choosing an investment city is the most important decision you will make, so you are wise to carefully consider your options.Where you invest depends on your goals.

It can be a very good market, but the why behind your choice may help us give you better advice on how to move forward.Before realtors and property managers, you really need to meet other investors so you are making a good move by trying to do that here, but it would be better if you could do it in person.

So I am left getting a policy with a non admitted carrier for likely 2-3x the price for less coverage.

So building ADU some what makes financial sense. 

I’ve actually eaten at that LazyDog, it’s in a prime spot, right near the mall, so I totally get why you’re drawn to it.

You pay 10% penalty plus taxes (lets say state and federal of 25%) - so you are paying $70k in taxes so your $200k is now $130k.