Even if it is a commercial transaction, individuals are under different rules than regulated institutions.

If I come across a great deal at say 3 million it is different than at 10 million. 10 million might be a great deal but doesn't mean I can pull it off alone myself without a syndicate etc. but I might have an investor that can own by themselves and would love that property.I think it is smart for brokers to also be investors and not just transactions only.

Well that $10 must be refunded to the applicant and all transactions are to be memorialized by the issuance of a receipt of the transaction. 

When you valued that new transaction would you say the house was a $100k house and has a 20% cap rate?

I calculated about $15k in buying, transactional and holding fees on a 6 month rehab loan. $80k in renovations. $5k in realtor fees. $2.5k in staging and advertising.I was planning on offering her $40K for the property.I would love to hear anyone's opinion on how I've approached this deal. 

Well, anyway, with that said, I will just assume that the nature after award is like a government transaction where it is required to post payment/performance bonds.

Part of my expense is to put a privacy fence in the back of the house to buffer the house from a huge dog that hangs over the chain link fence - no way in heck anyone is going to live with that.  

Imagine if 20-30% of the buying transactions disappeared, and that's a good picture of what life would be like in a stricter system in those countries that you mentioned.These subsidized loans happens largely because US social policy is mostly non-existent towards public housing or rent subsidies when compared to those other home-owning countries.

It was a blend of servicing and PMI on seller financed transactions.

It's not the usual real estate transaction where you look to receive points or is it?