Quote from @John Zinno: @Sean Culloden thank you for saying it much better than I could explain.

Explain the concept and they sale to their loan committee.  5.  

We lend in Colorado if you need anyone to help explain this in a rational way to your co-signor. 

When representing Buyers my goal is to explain why properties are listed the way they are, and where I think the property will trade for, or sale at.

Here’s the tight, practical version.New FinCEN Reporting Rule — What You Need to KnowIf a residential property (including residential lots) is purchased:By an entity (LLC, corporation, partnership, or certain trusts), andWithout traditional financing (cash, private money, some hard-money deals),a FinCEN report is mandatory.No report = no funds released at closing.How to stay compliantDisclose entity purchases at contract, not the week of closingHave ownership and control info ready upfront (generally 25%+ owners and entity signers)Expect additional paperwork on cash and investor dealsCoordinate early with your title company or closing attorneyOfficial guidance from FinCEN:https://www.fincen.gov/rreFor a visual walkthrough of what this looks like and why it matters, here’s a great explainer for visual learners:https://youtu.be/509Xqze7gDw?

I explained our process to them.  

Quote from @Jason Milko: @Joe Villeneuve can you explain "buy and hold isn't a strategy"?

I explained to them what a deed of trust, is what a warranty deed is, how they go together and why.

Then add the other sources of RE return.So how do you explain going from an $846k valuation from appreciation alone (I encourage you to check my numbers and perform the google search using the terms I provided) to a total of $664k?  

As I’ve already explained, good real estate investors have teams of support they lean on to do the jobs they cannot.