There's risk with subject to, of course, but if you can get into a position to refinance if needed it might be a way to acquire a property.

I usually have to pay 10% of rent + 1 months rent to acquire tenant.Hope this helps you make a decision.Good Luck.Bill

So if you're using a hard money loan to acquire a property that you intend to refi and keep you should have the loan preapproval for the refi.If you're just getting started cash is king.

How did you acquire the first property? 

Aaron, since I cant go to my title company and acquire a list of motivated sellers, what would you recommend my target area be when building a list on listsource??

We are working with the family to acquire the property.

The purpose of the loan being neighborhood stabilization, by acquiring non-performing notes, modifying the mortgages, and financial education?

This is  because of the fast turnarounds they have from acquiring the property to selling to a potential investor.

I would like to add an in-unit washer/dryer and central A/C (I'm not sure how much it would cost for both of these + installation and did not factor this into the calculations).In addition it would be ideal to have seller financing because I could not make a 20% downpayment, I would save on closing costs, and perhaps it would make acquiring my next property easier because it wouldn't show up on my credit report?

When I do this for real I am going to try to acquire the property by driving for dollars.Check this zillow listing outMy quick numbersRent $1600ARV $160,000 x 80% = $128,000 - 65,000 (repairs) = $63,00050% rule with offer price of $63,000 expenses $800 NOI $9600 Cap rate 7.5 Loan servicing $747 private money @7% interest onlyCash flow = $53 with refinance @ ARV of $160,000 and 75LTV Mortgage = $120,000 @5.25 payments of $663 New Cash Flow = $137 Cash needed for refinance $8,000 + Closing costs@John Chapman @Joe Butcher @Harry M.