We provide our clients with a one page addendum to the contract that stipulates minimum limit an of coverage, additional insured status, indemnity and hold harmles, etc.

The amount of rehab and the area will also stipulate some needed adjustments to this and like I said, this formula (originally branded the 70% rule) is not a purchase decision or not, it is a back of the napkin quick calculation.

I will have to read the contract/stipulations thoroughly before even giving my social security number.

A due-on-sale clause is a clause in a loan or promissory note that stipulates that the full balance of the loan may be called due (repaid in full) upon sale or transfer of ownership of the property used to secure the note.

The solution here is to have the borrower sign and notarize an estoppel agreement that stipulates as many of the terms of the loan as possible.  

I'm not sure what the stipulations are or what Minnesota law dictates, but might be worth digging into!

FHA stipulates that you will be required to live there for a min of 12 months and will have to move in within 60 days of loan closing and or recording whichever is later.You can only close in your personal name or a revocable living trust.

The only limitations would be certain limitations and stipulations as to when the prescriptive period begins.

One solution is for me to find a company that keeps the note in house so that stipulation doesn't matter to them.

Also, separate question, if I want to keep them on as month-to-month indefinitely (since so long as rents are below market and their presence makes it hard for me to improve the apartments a year-long lease seems more to their advantage than mine) do I establish a "month-to-month lease" with them that would stipulate when rent is due and what happens at what date when you don't pay, what their responsibilities and mine are, where people can park, etc.?