These are the numbers from the mortgage company:Closing Costs: $8,679.11 (half of this is lender points for a lower interest rate)Prepaid/Escrows: $2,211.79Payoff: $130,189 (this is the loan I took out to purchase the home initially before renovating, I put down $23,025 which was 15%)Total funds to Close: $141,079.90Loan amount (75% LTV based on $240,000 appraisal): $180,000Total Due at closing: $38,920.10Help!

@Will Jimenez Will the current lienholder allow a WRAP Mortgage?

2) Is it more difficult to get a mortgage on an investment property even though i would own it free and clear?

Call around finding out the mortgage rates and insurance.

Cost is 285k im not sure what the closing cost will be im estimating the followingPurchase price 285kClosing cost 6kRehab [email protected]% conventional Down payment 5% 15kI dont know what rent for the area but i look and see maybe $1400 each unit Im doing $80 for water per month$125 insurance month$200 repairs per month$300 taxes per month$1487 Mortgage $700 plus Cash flow Am i missing anything ?

@Nadir M.6% for residential mortgages is about right these days.

And what amortization and percentages are you using for Mortgage amount?

Depreciation recapture on a rental property that is still under water on the mortgage can create a problem at tax time.One out is to do a shortsale 1031.

If the investors you bring in are passive investors with no voting rights then it is considered a security and will have to do a PPM to avoid SEC issues.If it is a JV deal with the investors having voting rights, then no PPM is required.I would get a bridge loan that will fund the capex instead of raising it and lowering your CoC.Either way consult with an attorney and get a good mortgage broker.

Is there any mortgage fine print I should be aware of?