Hi,I wanted to see if anyone can review the deal that I just got under agreement and give me some advice and thoughts on it.28 units25 currently rented1 master lease space for laundry room fit outAsking price was 1.6Under agreement for 1.5 with seller holding 100K interst only for 4 yrs. at prime +1 (8.25%)50K downRecent comps in the area support the 1.6 million, however I was told that appraisers will often use the agreement price for the appraisal number instead of the supporting comp numbers.

She is in effect subsidizing her tenants.

The idea being that the return on the future years is in effect lowered.What I do not know is if the IRR calculation you are doing factors in the cost of the sale and the tax implications.

As far as a 1099 yes the lender will write off the loss and send the debtor a 1099 (almost always) which is treated as income and taxable by the debtor… However, there is a new law that just went into effect and under the right circumstances it makes it so the lender can not 1099 the debtor.

I know there is not one-size fits all, but I have heard what I think is conflicting advice.

My friend/partner want to buy an reo together.

parter has 750 credit score.

I have 652 credit score.

If we we both go on the financing will it lower he's score?

However, I assume that an effective wholesaler is putting a large magnitude of offers out there every week, most of which he/she has never seen personally.

Just Do It" is excellent advice if you're buying a pair of tennis shoes, but terrible advice if you're starting a business (and operating rental properties IS a business).

The actual risk is likely low unless someone wants to make an example of you.I have heard of the idea used to good effect before.

So-- neat and clean, professional, age appropriate, nothing fancy or designer that reeks of money (like I'd have anything fitting that description in my closet anyway-- sheesh :mrgreen: )