IMO if you chose #1 now you can always choose options #2 or #4 six months(maybe a year) down the road, pull all your 60K back out plus what ever appreciation you have(if any) and move forward. to me in option #3 you said paying interest bothers you and option 1 solves that problem, gives you practice with a new tenant so if they don't pay or u have problems you don't have 2 bills( your old mortgage and your new mortgage) to manage along with the stress(of kicking out your friend and finding a new tenant) just the one mortgage that your fiance already has within his budget(because your 60K didnt' factor into bank financing so you found a home to move to that was within his budget alone(even more safety net) or at least lower mortgage payment and house than if you had 60K to use to buy-down another home. but i digress....Option #1 is less stress , less interest payments,and less of your money with 2 options left over at a later date. like joe said your 60K is safely locked away in the home(minus depreciation) which you can always pull out later on when you are more risk-prove.Still your choice but that my point of view.Good luck!

@Shawn Ryan I agree with Account Closed, call the banks that do the loan and they will refer to u someone who can answer these questions.

May i know where u got your construction loan?

You have U of AL @ Huntsville.

Just have the Title Attorney break out their 2nd mtg. note template, fill in the terms and send to seller.Seller of course gets to U/W their own loan, and can ask for Credit Report, income, assets, etc. 

There is more that U/W looks at than JUST solvency, though if you're properly collateralized and you have positive DCR then those are certainly the two biggest factors that will be considered.

Then subtract rehab cost which brings u to purchase price of 51,300.

Quick clarification...u show an arv of $275k but don’t show any money in repairs.

If u don't mind send company website I'll check out...I do a lot of reading myself as far as real estate...what are your thoughts on creative financing.

It's supposed to end up being similar to U Village. a new high rise hotel is going in, in the same neighborhood, 25+ stories I believe (Hilton?