What pocket that ends up in would be determined by your contract with the seller.

Does it come out of your own pocket or do you add the costs to your loan ?

I explain the process, give them a stack of prepared deposit slips and they understand that is how they pay their rent.Very simple and no risk of you walking around with a wad of cash in your pocket on the same day at the same place every month like those "landlords" who like to get their money put in their hand.

So I think this is not a big deal.I thought I would ask Bigger Pockets for clarity as I didn't want to ask the lender and reveal my ignorance..Mike

@Eddy Saldanha Welcome to Bigger Pockets!

I can run comps, show you some properties and if I hear about any pocket listings I will throw them you way.

Welcorme to Bigger Pockets and hope you and your family have happy and enjoyable holidays and a healthy and prosperous New Year.

If so what are some of the better pockets?

So they are paying out of pocket two mortgages...how should I present the deal to themVirtus

But at least its not alt prime rate or something crazy.Here's where things got real interesting.UP FRONT PAYMENT REQUIREDCheck these requirements out:1) They wanted 10,100 up front - for "out of pocket expenses".