Risk is a necessary evil unless you're blessed with heaps of capital to protect yourself to wealth.

I'm not advocating this as this is a risky strategy in my eyes, but do your search on this site for "hard money loans" to learn more.

I understand the concern here, and its a risky move, however the seller has a good reputation.

I spent 20 years of my career lending for banks, and interest rate risk is something that you, just like to banks, should consider.

To get the low payment risk I want(solid tenant, very long NNN lease), I'd need to take a very large loan, and I'd have a very significant percent of my net worth 'at risk' in the case of a 'black swan' event.

It's important to understand the mechanics of a deal and I think it's important steps in the learning curve.In my opinion, for a beginner the risk is higher to do a flip as a first deal compared to a buy and hold deal.What excites you more?

Advice appreciated.2 bed 1 bath 800 sq feet + detached 2 car + 9x13 finished building that previous owners used a bedroom (has closet, window, cable, elec) Under Contract for $30,000Appraisal Dist Value $46,60 Market Value with $15,000 Rehab $65 -70KRent would be $750/mo with the $15k rehabBank Note on purchase $193/mo (5.25 @ 15yr amort, with 20% down)Tax $100/mo, Ins $73 / mo Total Exp Mo = $366Cashflow = $384/mo or $4,608 yr (over 20% / yr)I am out rehab $$ until i refi cash out which would then reduce my cashflow to about $250 / mo.If I seller finance I $650 / month at 9% on 15 yr term I would make $457 / moCarry that out 15 years and I like that.....My risk is the bank calling the note, or having to foreclose if they don't pay.

Flipping houses seems like it's too risky to start with.

I have analayzed that business and while the demand is strong the returns and time involved from my perspective are a losing proposition.

Conversely a person with a no claim history buying a property with multiple claims will be either uninsurable for some companies as too risky or the policy will be much higher than standard rates to compensate.I am not an insurance person just sharing what I have seen.