The savings principal is backed by a solid asset. 

As an auctioneer, we do those deals all the time ----- there is nothing better in real estate (my opinion) than selling an asset you don't own for a profit.

.- Row 3 will hold sale proceeds- I will sell the property in year 5 So it will look like this:A1= 100 (cash outflow)B1= 10C1= 15D1= 15E1= 15E3 = 25 (proceeds from sale of asset)Here is the formula I am using to calculate this=IRR((A1:E1,E3))This will return a value but I am not sure if it is the correct way to calculate this because I am not sure how Excel is interpreting these flows with regard to timing.

Check with your local Housing Authority office regarding tax breaks, etc.  

Generally, the trustee has the authority to assume (continue) or reject (cancel) the agreement, making you an unsecured or secured creditor for any option money already paid.

There's a BP podcast with the author of a book called "Never Split the Difference".

My take on the area is that it is great for buy-and-hold (although you absolutely do want to be particular about the area) and a nice inflation-resistant asset that can actually cash flow unlike what I hear from Austin.

I would use the 1% rule only for  "A" assets.

A "Hard" Money Loan is based on the "Hard" asset (the property) more so than the borrower. 

I just read a blog post about offering in a Freddie Mac REO, and it said asset manager wouldn’t consider an offer less than 12% off.