@Justin KnightenThat sounds correct but you should still have an attorney review it in case there is some quirky state lawFor example if your neighbor built a 12 bed 12 bath home on the property should they only be responsible for 1/3 of the cost - as based on agreement the answer would be that is all they owe.

In both, you should first document the damages and attempt to send the tenant a list of monies owed. 

Sweat equity paid off nicely, currently owe $99K on it and a recent BPO came back at $240K.

My gf and I bet $100 every week and if we don’t achieve the goals we set we owe the other $100!

Hi @Petya Toncheva, in my opinion the principal at play here is "best and highest use" and since a room need only have walls and a door to be an office space, but needs to possess more to qualify as a bedroom you're generally better off qualifying it as a bedroom and advertising it however best fits your market.Do be mindful of total square footage and overall utility. 

Typically, if UW is Fannie, they will use 1% of the balance owed, and if Freddie, they will use 0.50% of the balance owed. 

Single family vacation homeThe purchase price offered is $675,000Down payment amount is $33,750 (5%)Financed amount at closing $641,250Interest rate is 3%Balloon payment at 10 yearsMonthly payment $2703.54 (principal and interest)Total monthly payments $227,097.36 (years 1-10)Total 10-year balloon payment $447,847.36Total amount paid $675,000________________________________________________________Rehab costs $100,000-150,000ARV $1,100,000Refinance with traditional loan after 18 months 

Your family will need to know all of the numbers (liens, etc.) that are owed.

If the veteran’s employment requires the veteran’s absence from home a substantial amount of time, the following two conditions must be met: • the veteran must have a history of continuous residence in the community, and • there must be no indication that the veteran has established, intends to establish, or may be required to establish, a principal residence elsewhere.

Easy way to figure that out is how much principal is left on the current home subtracted from the loan limit for the county they are purchasing in.