@Danny Di Welcome to TOs condo glut.  

Usually people have to use transactional funding because the title company will not allow the C Buyer's funds to pass through escrow and be used for the B Buyer to to pay off the A Seller.

@Sebastian Taylor A parallel course of action you could pursue while continuing on with selling the house to to find a someone looking for a house, but who cannot get a conventional mortgage (self employed, recently divorced w/ credit hit, etc).    

Last year, my husband and I bought our first home with the plan to rent it out when we are ready to move on.Right after we bought our home, my brother learned through the family grapevine that we were wanting to to invest in real estate, probably going the buy and hold route.

Using the round peg that fits this round hole is a Sub-To, below Brian's post where he has "Paperwork" tell the attorney it's a Sub-To to you at your buy price, then pick up at Brian's list again and you lease-option at market value with the option being subject to title requirements (the payoff of the underlying mortgage).See, I'm not opposed to making more money, just sell this distressed property to your buyer at market value!   

I am not sure about the things that I will say, but let me know if you talk to a lawyer, or if you dont plan to. To

I have yet to to turn in a loan application but have ran into recent situation to obtain a personal loan 10k.

I have been researching the best way to buy and hold properties without having to to take out loans.

There are plenty of sponsor companies out there that can get you into one (or with a $1 mil plus, you'd want to to diversify into more than one).

Well, the best thing to do in this situation to to actually go the city's Planning and Zoning Dept, and speak with the person in charge yourself.