I won’t look to necessary take more money out (see point 2), but the goal here will be to eliminate FHA mortgage insurance.

If the Transferor/seller will not realize a gain on the transfer of the Hawaii property, the Transferor/seller may apply to the Department, using Form N-288B, for a withholding certificate that reduces or eliminates the amount to be withheld by the Transferee/buyer.

If you say it early, it should weed out and eliminate fakers... just tell them you like to be very transparent with any fees.    

The foreclosure eliminates all those junior liens. 

There are many other screening criteria to use to eliminate applicants you do not want.

This would apply to a refinance also, since the original mtg would be eliminated, and replace.As @Tom Gimer mentioned, Ocwen usually services loans in default. 

With that kind of equity, the elimination of mortgage insurance will offset the increase in rate (or at least soften the blow). 

It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Understand you can not eliminate all risk, only mitigate it.

Warning:  If they are self employed (RED FLAG)  they will likely need a MIN on 10% down and need a Stated Income ALT type programIf they are strong, good credit borrowers, hold a 15%ltv seller held purchase 2nd, this way they can look the best financing terms and eliminate the PMI.Likely the 1st mtg lender will want you, the seller holding the 2nd, to hold the purchase money 2nd mtg with a MAX  5yr Balloon or longer

If you can easily eliminate some of these types then I’m supportive of the bans