You'll obviously have quite a few credits from prorated rents, prorated taxes and transfer of security deposits.

Normally, do wholesalers give the seller a deposit?

But I would not return the security deposit until after he got everything out.

I think I got in for first and last months rent plus a security deposit and I negotiated a purchase option that was extendable for a year (2 years total).

@Nick Payton , not sure if the 50% rule counts escrow as an after mortgage expense, but here is the breakdown:Mortgage payment: $388Escrow: $237total: $625Expenses:Utilities: $250Maintenance: $1075% vacancy: $70CapEx: $110total: $537We'll see how well those numbers match up with reality in the next few months or so, with these numbers my cash flow is closer to $250 a month than $300, guess I got too excited in my original post =).If Escrow counts towards expenses (taxes and insurance) then I meet the 50% rule for sure.

I wrote in the original contract with the seller that I will have a check held at a particular title company.  However, the buyer that I assigned the contract to is using his own title company.  Do I need to worry abo...

If you are going to be putting up all the deposit money and getting a percent of the profit at the end, my thoughts are that you would have to have an equity interest in the property to make everything legally sound.

I was using Houzz and think I was blessed to find two examples that match my foot prints exactly.

One essential element is that you need to figure out what is going on and make sure you get a non-refundable deposit if/so when they bail, or you have to evict them, you are covered.You still need to figure out why they aren't getting a mortgage and whether, given those circumstances, the lease option is still an acceptable risk for you.Finally, if you are fixing and flipping houses, the opportunity cost of having your money tied up in this house essentially for ever is very high.  

The triumphs (Yes, I did just score a closeout deal on product that actually matches the design and adds $800 to the bottom line) and the Marketing and selling (which is where the fun really begins).