That's what you have to give in exchange for the low rates/longer amortizations/lower fees.  6% is almost bank portfolio loan rates.  10% with a few points is going to be more realistic for private money, and with the complicated (i.e. more risky) scenario you described above, HML is probably the best bet.  

That being said, I can't see the price history from what I just looked at, but my guess would be that it was priced too high and sat forever with a stubborn seller that didn't want to come down to a realistic market price. 

A carefully thought out and  realistic plan and cost estimates carries more weight than a 800 credit score by some naive dreamer.Finding out your note is unenforceable and or noncollectable is expensive.

But realistically 10 years at 7% they will refinance befor you get that far.  

Rob, good advice and very realistic view on cost! 

Newbie starting out and currently raising capital (goal is $30k by EOY), but unsure if I have a realistic chance of finding deals in the area that meets my criteria.

It sounds like a realistic and achievable goal for you.The property type will be based in part on your investment criteria. 

The mere cost of attempting to do this yourself, is just not realistic at least if you have a full time job, I know that is the case with myself and my immediate circle of friends/acquaintances.

@Brandon ProctorI'd look at comps in the neighborhood and look at them on a Per Sq Foot basis - think that would give you a good idea on what to realistically pay and what your ROI may be when finishing a basement.Quality of finish would have to come into play a little - however I'd think what's typical for the neighborhood sets the standard on the pricing PSF though.That's the way I'd look at it.  

Whatever is realistic...and that can vary in each neighborhood, or even each property.