Thanks for the response, Brian GibbonsThat does not sound very restrictive to me - it would be rare for a tenant buyer to accumulate 80% equity, right?

But, the restriction is usually a deed restriction which stays.

If she does reside in the property, she may be restricted by the new lender to 55% LTV and if they cut the value even a little, she will not get all her money.

If they are too restrictive, find a new broker or consider working under your own license if you are able to become a broker.

Some have resell restrictions, depending on the seller.

In all likelihood, you will have to close twice, and there could be a deed restriction preventing you from selling or encumbering for more that 20% over what you paid for 30-90 days.

Ditto J's responses, and also so you know, you can't assign the contract, and many may have resale restrictions for up to 90 days.

If you are going to do some installment contract, the due on sale is not the only issue, there is the SAFE Act, Option restrictions, tax issues, insurance and maintenance matters that can affect the interests you have.

Take a look at what's happening to Burnt Bridge Crest condominiums in Hazel Dell.In my case, there are no HOA restrictions, but there are FHA and conventional (Fannie/Freddie) restrictions on units that are over 10% non-resident owned.

Look at your options with a community banker - specifically say this is a "business purpose"The rate will be higher than the HELOC BUT you will be able to access more money with less restrictions.