"Your" assets need to be kept distant both from you(r personal possessions) and from each other to minimize losses in the event of a successful lawsuit.

@David DachteraYes I'm aware that if I buy the 2nd and take back possession of the property I'm taking it subject to the 1st.

Usually "after I do a walkthrough" would be part of that speech, but not in this case.At least in our area, getting the keys back is very helpful from a legal standpoint (clearly shows tenant has given up possession).  

When the bank shows up as the mailing address I thought it was in the banks possession. 

In the state of Hawaii, I have a duty to mitigate my losses by re-listing the property once I have possession on Dec 13th.

The reason they stress pre-foreclosure over foreclosure from a wholesale perspective is because as you can tell from my comments above, it take actual cash you possess to close on a foreclosure.

@Joseph Aginswhat state, and have you looked into adverse possession.

I've had a few tenants over the years ask to break the lease for various reasons; however, they all agreed to my requirements that they show the unit to prospective tenants (so I didn't have to pay my contractor to do it), keep the units clean and tidy, and pay the rent until the day another tenant took possession.

The best you can hope for is a tenant that will voluntarily agree to terminate and remove their possessions.  

But as I watch the world franticly go by on their way to work everyday to pay for all of their possessions ....