Between the cash on cash return, principal pay down, equity capture at purchase, appreciation potential, and tax advantages, the potential is unlimited!

I guess you have an attorney who hasn't done his due diligence in lending issues.Every penny taken from a note that is not principal or a late fee arising from future late payments is interest.

Do you know what she owes?

Would you eliminate the principal if you were your own lender?

@Ryan Steele Taking my situation into account i owe a 20,000, that my father took out from a loan.

The tenant buyer would have $18,000 credit towards the purchase price after five years bringing the balance owed to $164,000, so I would not offer the seller much more than that.

i.e. the homeowner owed $300,000 total (including attorney fees, late charges, mortgage p&I) the foreclosure auction got $101,000 highest bid the bank won't accept the $101K bid so they took the house back as being the 1st lienholders P.S.

Our principal residence and autos are titled in the name of our living trust in New York.

Sue him for every penny you can imagine he owes you, it'll change his tune.

For example, I may estimate an ROE of 8-12% (or whatever they might be) before principal paydown and appreciation, but after a plausible range of expenses.