I would continue exploring and keep this on the back-burner.

They have their own criteria and they're making a secured loan, so their primary consideration is not your capacity to repay, but the value of the underlying collateral.

The near miss borrower, the one that almost qualifies for established loan "programs" is usually treated as badly as the borrower who has no intention of repayment.

Anything I have come across is simply priced so high because the perception is that prices are going to continue to rise and demand is very high.

@CL Tumlin ,Depreciation as @Dave T said will be prorated for the number of days in the year.Unless you initially segregated out the costs upon purchase between the individual components of the home you will continue to depreciate it over 27.5 years.

So if I had to do this deal (not saying I would at that price for that location) I would convert to a rooming house with top notch landscaping out front (looks like it’s next to commercial so as long as you weren’t too crazy with it you would be ok) and let it cash flow for a few years hoping that the neighboring areas continue their uptrend.

But since he isn't selling anything, he can continue to say he never had a loss.

By studying real estate investments and using tools like this forum I feel like you can make smart decisions to continue building wealth and continue the tradition of passing on income producing assets to family.Best of luck to you!

As of this afternoon the buyer's lender has agreed to continue with the loan process as long as we sign a new Purchase and Sale agreement when the 90 day seasoning is over and we extend the closing date to the end of February.

BP is an amazing tool and I continue to learn cool stuff every day.