I don't think most sponsors understand the legal implications and unfortunately it's been 15 years since a cycle has caused the tides to go out, so very few do but once these issues go to court, judges will hold sponsors to a much higher standard.

My wife and I's goal is to own a "bullet proof" portfolio in our hometown on the DFW outskirt.

Depending on the bank/loan type they could require that the claim is filed and there is proof of repair.  

I’m looking to partner with a like-minded local home builder to share in the journey of providing our area with affordable, hyper efficient, storm-proof housing.

They were looking for proof that I am authorized to list the property for rent and I had to give a copy of the warranty deed or utility statement I think.

I'm going to call utilities and let them know that I have already sold this property and send them any necessary documents as proof (i.e. deed of transfer).

Prepare for competitive offers by getting pre-approved, having a proof of funds letter, and being flexible.

YOu as the buyer showing proof of your ability to pay (through actual bank statements with cash and/or closed sale transaction proof showing you are a proven all cash buyer that closes will instill confidence in the wholesaler and allow them to perhaps make less on the deal but can do more deals knowing they have a quality buyer in hand is a win win.

Reverse the cycle if your buying from a wholesaler.

Before you buy you 1st build you awareness of real estate investing, potential team members that you will need over the journey that will likely last the rest of your life and commence recruiting people and investing time seeking out knowledge and WISDOM.Wisdom would say buy in the down cycles of the market and refi cheap when rates are low but investors often have ants in their pants.