I've done a lot of research and even worked on running numbers for certain options (just as an exercise), but I'm now looking forward to jumping in.

Flagstar may exercise the "due on sale" clause if the name(s) of the buyer are not the same name(s) as the members identified as the owners of the LLC.

Learn from the exercise and do better on the next.Good luck! 

That clause avoided a lot of headaches when the seller eventually exercised their option.Seattle permitting can really be a curveball.

.: I just did this exercise - I liked ranking them so I could look at the big picture. 

The lender at that point can exercise the Due On Sale and it becomes a problem for the subto buyer, who now has to find new financing or lose the house to foreclosure.

Once they exercise seller financing, the property is sold and all 1031 rules apply. 1031 has specific timelines.

You are absolutely correct - I have never done this exercise. 

I’ve actually had a number of people exercise their option and get a loan and buy the house.

It’s a tough decision, but we’re adjusting our strategy to align with market conditions and our timeline.Having come from a corporate background, I’m used to doing these kinds of planning exercises.