JayV

Thanks, MC. You oughta get a donation box rollin on this site! Or maybe a "subsidize my excessive behavior to the Keys - part two - fund" You all are greatly appreciated.

Ok, thank you guys. I didn't know they could be used all over the board. Really appreciate it. With Dodd Frank, what's the norm on giving incentive to your t/bs to pay rent on time? My attorney said capping rent credits at 20% "should be" fine, but I'd still prefer to avoid the heat if I could. Especially after he phrased it "Should be"

No worries. The Keys are amazing. Great diving there, and seven mile bridge is incredible to me. Due to Dodd Frank, instead of offering rent credits, we've started using seller concessions as a credit to on time payments. So the t/b pays on time every month for say, 36 months, and gets $3600 as a credit. How is that $3600 used to cover the tenant buyers closing costs if its a credit on paper?

Hey, everyone. Couple quick ones here. Crediting a buyer with seller concessions for on time payments to go towards closing costs. How does this work if, to me, it just sounds like a credit on paper? Okay we knock $3600 off the strike price to cover your closing costs. How? Also, is the option consideration the t/b puts down to you also the down payment for their loan? I've heard it both ways. That, yes they can use it as their 3.5% down on an FHA, but others have said no, they have to come up with a "real" down payment down the line when they exercise.