Split the improvements from the land 2.

I have a close family friend who has recently gotten sick and it does not seem like it is going to improve.

Many properties are sold without mineral rights in Texas.My guess as to the issue is that the owner of the mineral rights has the right of ingress/egress and they have no responsibility to of placing any lands or improvements back prior to their use.

You make your payments to the hard money and then 6 months down the road, when you have improved your credit and built up some cash, you could get a traditional loan.You'll just have to make the numbers work with the HM at that point.

For properties 6+, you might be able to still use conventional financing, depending on how much equity you have built in your prior properties and to what degree you have improved the rental revenue ... but the process gets more difficult each time.

That residential condo rehab project may require a low initial get in now amount and additional purchase money deposits as construction proceeds.IMO, I can make the argument that this is not financing a purchase, it's an agreement to save toward the sale price and when savings are sufficient, or at any time, the seller has the right to close.I'd say a lender would buy this more so than the lease-option as to the due on sale clause under the argument just mentioned.Another plus for the purchase agreement is that a buyer may agree to pay for improvements or repairs necessary!

Originally posted by Bill Gulley: Reader's Digest version; In time By management through or by; changing use to higher and better changing external factors that lower value increase utility make improvements changing perceptions of/for use increase competitive advantage through regulatory changes for competitors accelerate debt service reduce expenses-increase income The end :)Thanks Bill.

@SCOTT WALKER I love land, but I deal specifically with improved lots in established subdivisions and I have tried to stay away from your kind of land (see my interview - podcast #41).

I also agree that the "pride of ownership"/personal touches improve the retention to some extent, but we'll see..

If the answer is yes, I would only make cosmetic improvements that yield a higher rent.