Additionally, only my aunt's third appears to benefit from the 250k capital gains exemption.The house has appreciated approximately 300k in the last 16 years. 

The benefit is that you'll be able to use the same funds to repeat the process for more properties without having to pay off the previous ones.

As long as they have income other than Social Security Benefits, you can garnish their wages.  

The home possible loan also has the benefit of the ability to reduce/eliminate PMI when you reach 20% equity (if you choose not to refinance). 

@Sharon Kehnemui Get with your CPA and find out how it can benefit the seller and then show/tell them.

This essentially means the management company is merely a bridge for the owner to have access to a franchise as well as added benefits and resources (this can be HR, accounting, purchasing, etc.)I am not familiar with the deal you have on your desk, but I would approach with caution.

Is that the main reason or are there other benefits?

I just have trouble seeing the benefits for a hard money lender cash flow wise to get their money back and more?

.- Seller Financing with offer at $160K, $20K down, 6% interest,  30yr Amortization, 10yr balloon:  Seller Gets $237.8K over 10yrsBy showing the a really solid offer on price PLUS illustrating how much more they can make over time by offering financing, you might be able to open their eyes to the benefits of offering seller financing.Good Luck!

Hello,I am currently renting a room to my adult child and was wondering if this qualifies me to be able and take the tax benefits of a RE "investor".Thanks