Looks like property is bank owned.

The tenant was paying rent to the previous owner but hasn't been paying rent for a while since the property was foreclosed and sold to the bank.

That is a true portfolio loan with a commercial loan and through a commercial lender or bank that provides portfolio lending.

You can put a mortgage into a "trust: without triggering a due on sale but again contacting your bank/lender is the best route to avoid any issues.Some banks/lenders or servicing companies change guidelines and even a trust may require other paperwork but the attorney usually facilitates that to be safe.  

But that honestly looks like it is all set up to try and be a banking solution (ie, get as many users keeping money in BaseLane's bank accounts so they can make that sweet sweet float on the interest.

That $250k sitting in the bank with no chance of vacancy or capex could earn you $11,250/yr at 4.5%. 

Bank recourse How did you add value to the deal?

I then went to the bank and mortgaged it for the same $30k at 8.5% over 20 years.

.- Strategic Partnerships: Building direct relationships with REO asset managers, bankruptcy attorneys, and bank liquidation teams can provide exclusive access to bulk sales before they go public.- Bulk Purchases & Portfolio Acquisitions: Banks and hedge funds often look to unload non-performing assets in bulk.

They switch banks and ask for an extension and add another $2500 deposit as a show of good faith.