What I've learned is to ask whether they were interested in cash (meaning, larger down payment) or cash flow.Also, do you just straight ask if they're willing to carry paper?

Just given your basic description I would assume that they'll most likely ask her to carry for at least 2 years.

If you do not disclose this to the end buyer's lender, when they pull the title report, it will not show you on title and hence, you have a problem.If it was not a short sale, you could have assigned the contarct and had your end buyer come up with the asignemnt fee in cash (their lender will not consider that portion as part of the aquisition to loan on) or you could carry back a note for your assignemnt fee and have monthly cash flow.

Jon: Where can one go to get info on how to project costs/cash flow on hard money/refi loans as we are discussing using different assupmtions for carrying costs -rents etc.?

A lot is going to depend upon your level of technical knowledge and ability, the time you are willing to put into this and your expectations and the amount of money you are willing to carry as a monthly cost.A low cost non-database site can run for under ten dollars a month, we are currently spending about 35 a month for a database-based site running with SSL for login.It is fairly easy to set up a site.

When the people that took care of the environment carried guns, fishing poles, actually were actively involved in habitat preservation and construction and didn't lick the frogs?

Normally a bank will want to see where the 2nd mortgage is carried and the terms.

What you can't do is get a 100% of purchase price conventional loan.With the multi you can have the seller carry a piece.

Another simple solution is a seller carry back and then refi.

He bought a bad deal without the staying power to handle the negative cash flow.I'd put the value of this property at about $1.1M, less the cost of getting all the units into good shape, and less the carrying costs for the vacancy to do that work.