And there’s legal risk, the risk that either through insufficient documentation, or adverse court decisions, the creditors ability to obtain ownership of the secured collateral in event of default is compromised.  

We went back/forth on his lack of logic and I just ended the call.To your situation, unless they filled out a adverse possession claim, beautified the home, or lived there 21 years, then squatter’s rights don’t apply.- As everyone said, get a lawyer ASAP for a civil and possibly criminal trial.

I feel in this market it is difficult to get outsized returns (S&P seems very hot and might be hard to sustain 7%+ returns in long term.. but even if so, I’m risk adverse so would probably keep it my HYSA)I did run the numbers if I were to prepay $60,000 now and it appears the IRRs are lower (because of the higher cost basis).

There is a legal doctrine known as "adverse possession" by which trespassers who openly inhabit and improve a piece of property that is otherwise abandoned may gain title to that property after some specific conditions are met.

The terms “paid advertisement” must appear on each page of any printed advertisement, or “this is a paid advertisement” must be spoken during any verbal story.A Member in good standing who wishes to display or use the RMAI logo (inclusive of certification logos) to indicate that they are an RMAI Member may do so provided that they first execute an agreement with RMAI which: (i) grants the Member a nonexclusive license to affix the RMAI logo to certain promotional material, (ii) reserves the right for RMAI to terminate the nonexclusive license granted in the agreement and to prospectively change the terms and conditions of the Agreement from time to time in RMAI ‘s own sole discretion, (iii) limits the use of the logo to the Member company’s website or other promotional materials, (iv)prohibits the transfer of property rights, trademark, or other intellectual property interests of RMAI to the Member, and (v) prohibits the Member from assigning the right or authority to use the RMAI logo to any other party.A Member shall not use the RMAI logo on company documents and/or letterhead to imply RMAI has approved or endorsed the content contained therein.CANON 5 – REPUTATION OF THE INDUSTRYAn RMAI Member shall always demonstrate its desire to protect the reputation of the industry which shall be revealed through the avoidance of impropriety, including the appearance of impropriety.Commentary:A Member shall not engage in any conduct that materially and adversely reflects on the receivables management industry.A Member should always be cognizant of the industry’s perception to the public.

Tax accountants (and lawyers) also tend to be extremely risk adverse so they tell you to do one thing after another to lower liability even if it doesn't always make sense from a cost/benefit way of looking at things given that, as we all know, time = money. 

I agree with your thesis...deal flow IS real estate investing.Baseball is good training for REI...takes discipline and persistence after adversity. 

This allows the sponsor to buy a nearly $50M property with just a few million of investor equity--but it provides zero resiliency to an adverse market. 

"(11) To refuse to rent to a tenant solely because of an adverse credit report or lack of credit history without reference to additional information provided pursuant to Section 38-105(e).

🤷🏻‍♀️There is a legal recourse to do this...it is called 'Adverse possession'.