If you want to leave that debt outstanding, by contrast, may as well do it with a fixed rate cash out refinance.2.

Hi Guys,I've come across a 5 unit in Cincinnati that the owner partially started a rehab on but, ended up stopping and leaving vacant for about 2 years.  There is water damage to windows and walls which I think is a r...

I'm assuming I treat it as a HML and they get the 8% for as long as the loan is outstanding - in this case 6 months.  

I haven't looked at prices recently, but last time I checked there were houses selling for the price of a new Chevy.Maybe tantalizing, but surely there are better areas nationwide!?

A house 2 blocks away, with the same layout, not on a small lake (this one is) sold for $200,000 two years ago.ARV as a 5/3/2:  $230,000 (very tough to find reasonable comps)Repairs not including what's needed bring addition to conform with building and zoning:  $15,000 conservatively (interior paint, carpets, landscaping, deck/floors resurfacing)Outstanding Mortgage:  $158,000Past due amount:  $4650As we walked around in the basement the man explained to me that he finished the basement himself: framed walls, added electrical outlets, and closets to create two additional rooms in the basement along with another full bath.  

How would I handle the payments that have been made so far with respect to the outstanding principal/interest?

No bank will finance a purchase with a preexisting mortgage still outstanding.

The house is paid for free and clear, no outstanding mortgage.So far so good, but the problem is that he wants market price for the house.

Read more about house hacking here on BP.....folks nationwide are able to qualify for the FHA insured, 3.5% minimum downpayment, as long as you're owner occupied.

Not exactly.....when a certificate holder applies to send the property to a tax deed auction, the applicant has to pay off all the other outstanding tax certificates, along with the 18% interest on those certificates, in order to send the property to auction.