If there is a mortgage or any liens on the house then you will be the new owner of those liens and the lender on the mortgage will have the right to foreclose because it was a fraudulent conveyance.

So To combat that price point I partner with other investors and I manage the rehabs. iv traveled all over Virginia North Carolina as of now I'm doing my first 50/50 split with another investor to do a major rehab (iv never done something this big before) but the rehab is about 3 hours away from Washington DC because that is how far you have to go to get a house for under 200k.

Most servicers are not going to waste their time chasing something like this down, and even if they did, you could always prove your intent was not fraudulent. 

Next, that kind of charge back makes no sense, charge-backs don't happen like that for NSF, this feels more like a tenant disputed charges with CC company as fraudulent so CC co yanked funds.

Looking forward to navigating the site, learning as much as I can and combat the whole analysis paralysis that I definitely see being an issue for me. 

I definitely don't want to mess with anything that may be fraudulent!

It’s common so be careful to check your adds are not getting fraudulently used.

Aside from being horrible tenants; always late with the rent, combative in nature and mean to the other residents, they stopped paying rent altogether in spring of 2019.

Definitely don't underreport expenses, as Eamonn noted that is fraudulent - you are misrepresenting your income to the mortgage company.You can certainly work with your tax pro to make decisions that can draw out or accelerate expenses - taking or electing out of bonus depreciation, 179 depreciation, at what level  of expense you capitalize vs write off (de minimis safe harbor), election to capitalize repairs and maintenance you otherwise could have written off, making or not making small taxpayer safe harbor.Of course talk with your lender to see what they add back - if they add back depreciation/179/bonus, then that isn't a reason not to accelerate.

Also, I had a tenant that claimed online fraudulent activity on their bank account.