Here are how the basic deal looks: Home Depot $ 16,000.00 Credit Card $ 12,000.00 Purchase $ 57,000.00 Rehab Labor $ 22,000.00 Contractor Fee $ 5,000.00 Carry Costs $ 5,200.00 Refi Closing Costs $ 2,000.00 Total $ 119,200.00   The house got appraised at $140K so the bank lent me $105.

The city building official said the city inspects for code compliance but not bad design -- hardly reassuring in light of the municipal fees that drive up home costs everywhere.

There's other options for us such as staying where we're at for another year after selling the rental; we'd be mortgage free, AND I'd be able to test the waters in an out of state rental market as I'd still be able to buy the first unit/home cash (we'll clear about $150k on the sale of our rental after paying off the note and other fees).  

So even if it’s legal to use it as a termination fee, you still have to write a letter stating such.

You have no agent fees. 

@Gary Clisele Also you will be paying servicing fees every month on every note you own that is boarded with a servicing company.

Is it typical for the borrower to pay the lender's attorney fees (separate from points) on a transaction ?

The bidder had to pay 1% fee(hammer fee).

OR just deposit it and ignore the late fee?

For example property analysis in wholesaling , I know the formula is ARV x 70% - rehab cost - your fee = max offer.