I have a property I'm selling where the buyer has agreed to pay $25k above what it was last appraised for 2 mos. ago when another buyer was purchasing using a conventional loan.

Using a security for the last mo is a common practice among renters and from what I understand the court will support their position.I will get last month's rent upfront.

You can finance up to the original purchased price + closings costs/prepays on the new loan, capped at no more than 70% of the new appraisal.http://www.biggerpockets.com/forums/49/topics/71009-conventional-mtg-delayed-financing-rule-successHave you called ALL your area banks and CU's to determine if anyone will do a cash-out refi portfolio loan (in-house loan that they hold on their books) using a new appraisal with no (or minimal) ownership seasoning requirements.As far as secondary market loans (Fannie/Freddie, ie. the 30 year fixed stuff): Citimortgage has no minimum loan size, for one, though most originators certainly do set a minimum.Local banks do not make portfolio loans for 30 year fixed, whether it's owner-occ or non owner-occ.

I don't think the current owner is using a professional manager, but I also don't think I'm smart enough to do it on my own the first time.

Are banks using a different foreclosure strategy to not shock the market into a downturn?

I know from doing research that i can get this done with a very small ernest fee using a contract, or none at all.

The only other twist I might add to what @Percy N. said would be if you're using a smaller community bank that doesn't resell it's loans to Fannie or Freddie.

I'll say it another way to avoid confusion by using a property I purchased.Purchase price: $650,000NOI at purchase: $26,000NOI under normalized operating conditions: $114,000CAP rate at purchase: 4CAP rate under normalized operations: 18This deal only required a 7% rent raise and also required me to not hire 3 of the 5 park employees at closing.

Is that at market rental rates, or slightly below to keep them full, or are you using a dynamic pricing techniques to manage to a particular vacancy rate?

A 0.5% premium over average rates would be awesome, considering the alternative of using a HML.