Almost every realtor I spoke with said they'd had problems with investors (probably inexperienced ones) tying up a house under a lengthy options contract preventing its sale even after the bank negotiation fell through.

After a lengthy process I was approved for a loan with expiration date of June 12, 2009 Although the loan included the initial mortgage and the rehab work, it was a general approval based on my financial standing, not attached to a specific property.

This wasn't just "one of many offers", casually accepted - I've inspected the property several times, met the vendor a couple of times and had lengthy discussions with him, etc.

In the last couple of years, there have been at least three times when our paper dug into some series of deals and wrote lengthy articles detailing how a scam had been accomplished.

Had a lengthy call with a local bank known as "investor friendly".- They'll do cash out refis (on REO properties that are initially purchased for cash, for example) for 80% of (purchase price + documented rehab expense).- 1 pt to the lender- Other costs just $200-$300.

Thank you everyone for your replies..so everyone sort of understands the relationship:I'm 50 years of age and my friend is a few years older--we have known each other since I was 14--he was the best man at my wedding and in past times we were room-mates---a lot of history.I cautioned him about being a landlord and stated that he ideally would need a certain number of properties--in case of a lengthy vacancy, eviction, damaged unit.

There is no way around a lengthy due diligence on each asset.

.* Sorry for the lengthy data dump.

If you're entering into a trust with someone, it's not really arms length is it?

Go back to your list -– it should be pretty lengthy by now –- and add modifying words that are relevant to your product or service, such as: cheap, discount, low cost, free, premium, authentic, etc.