The only tidbit I feel important to put in here, unless you personally know your PM lender: if it seems too good to be true, it probably is. 

I know most BP note investors deal in SFR notes exclusively, or at least mostly, and for myself 98% of my note investments are notes secured by commercial properties.  

If that sounds like you, let me know if you'd be open to having a conversation!

I'm surprised someone verbally told you you can convert back to a duplex and didn't tell you that you must get permits.from what you are describing it seems the town gave you a hard time because you didn't get permits, I don't know that you have any legal standing to go after the town,  again, I am not an attorney 

If you have any questions and/or concerns on mortgage financing, please let us know if we can be of any assistance. 

You wouldn't know if it is truly illegal or not without asking the city, which you would not do obviously.

I've done this with my properties because I'm well known in my small town and don't want people to know what I own.

@Lane Berry do you know if I might need to get a license for that or is it something I could do with no experience?

When they snake a camera in, they know pretty precisely where the camera is and can see (to some extent) what is clogging the line.

In fact, some of the best opportunities in real estate come from properties that others overlook—distressed homes with potential that just need the right investor to bring them back to life.If you’ve been in the game long enough, you know that distressed properties can offer huge upside, but they also come with their own set of challenges.