I think it would be a good idea to put a porch light for the safety of your tenant.Joe Gore

Now, perhaps using the words "under market value" is not the exact or proper wording as far as accounting or any other practice is concerned, however, my thought is not on what the proper words are, but the intent and what is actually accomplished.Secondly, I have purchased under market value on every flip I have purchased and after closing and before closing, used this to present to lenders, backed by reliable and public information, to establish loan to values, equity positions, and safety nets for lenders.

It's always been the best policy for me in dealing with tenants, contractors, etc.

If you are concerned with title you should be able to order a lender's title policy.

Good news is the MIL is insurable and our insurance folks confirmed that if the MIL burns down we can build it elsewhere on the property or take the market value in dollars from our policy.

I do agree with you regarding the insurance - again something that I need to research on so I can get the best insurance policy for my situation.

@Andrew ScottWhat's not been mentioned re Lease Option, option payment and the now questionable rent credits under Dodd Frank, is that every bank has a different policy re the option payment going toward the down payment.

Title insurance is an insurance policy that covers the owner against claims of interest in his property.

Well, @Andy Bui, keep in mind the advice you get here is worth less than you paid for it.Those professionals who you think charge big fees are backed by a license and a big ole malpractice policy standing behind their advice.No one on this board who tells you how to setup an entity or structure this or that is going to stand up with you in a court and defend those recommendations.Sites like this are a great source of ideas, research and learning.

I can understand those wanting to use email, I'd rather not, but depends on the tenant too.Yes, I had email lending, I did not email documents, I'd rather do things in person or by snail mail.Anything you send them they will have forever, you could make a comment or agree to a one time matter and that can pop up again if you failed to be explicit on that one time matter or be construed as your policy.