However, it would provide us with the necessary funds for the repairs and potentially a down payment on another property.

Building a duplex or triplex for house hacking could be a solid investment strategy, especially considering the potential rental income and your ability to live in one of the units.

7% rate is WAY TOO LOW for the risk your Mom takes.

Commonly, these proceeds are used for further real estate investment or costs related to the borrower’s real estate business and strictly can‘t be used for personal uses, such as paying off personal credit cards or any nonbusiness expense.DSCR loans are “primarily based on the property,” meaning that the lender evaluates and qualifies the deal mostly but not completely based on the property’s investment potential.

Selling a house in a trust, whether revocable or irrevocable, does involve potential capital gains tax considerations, just like any other real estate transaction.

Consider what questions the potential mentor may ask and how you would answer.

My parents have plenty of money and most of it is sitting in low risk investments such as money market accounts getting 4.5% interest.

But sounds like you have more due diligence to potentially do.

I went to all of the owners and was clear and honest with them about their current returns, expenses, ROI and potential future returns, every single one of them transitioned out of that investment class.

The owner financed position is a potentially zero interest loan that should be considered.Another quick note: consider leasing his land with an option agreement as well.