All Forum Posts by: Chad Harter

If you haven't set terms in stone for the loan you should just amortize it over a longer period of time. Do a 15 or even a 30 year period. It will have a balloon payment in 5 years, at which time you can refinance it into a conventional loan and pay the seller off. This will ensure you are cash flowing from day 1. You can always make bigger payments, but you don't want to get stuck paying out of your pocket monthly if the rent doesn't work out as well as you planned.