If it is, you will need to comply with the rules for financing to owner-occupants in your state and the SAFE act.Just quick thoughts.Hope it helps!

This could result in the tenant/buyer suing the seller, especially if she can't or doesn't return the option money.My basic rule of thumb is that if a seller is in financial distress, do whatever you can to get the deed (low cash offer, Sub2, Sub2 with equity payment via a seller carry-back 2nd mortgage).

The liability and maintenance issues alone should justify removing them.

Double digit cash on cash return is an excellent to way to start investing.Last comment is using 2% rule, a purchase price of $35,000 would give you even better results, having said that, it's not very easy to acquire.As far as rental income is concerned, I am not aware of local rentals.

I am worried that they might change their rules to my disadvantage .Thanks.

There are so many red flags with this person that I could write about why you should get rid of him but I won't.Here are some rules that I follow when bringing anyone on my team:Find the best people you can find.

Search 50% rule.

If he is a licensed broker, he has to follow the rules.

Bear in mind this is a business contract, there are no hard and fast rules so long as everything you do is legal.You and your perspective partner need to determine exactly what kid of deal you want to conduct.

I've been reading about the 2 percent and 50 percent rule and researched on different locations for properties that cash flow.