As long as you're forthcoming on your seller disclosures and can provide professional documentation for the remediation you should be fine. 

Disclosure: I am an investor with StrongBrook.  

Or is it just a disclosure when you try to resell it?

Purchase Price 20k, Seller Owed 45k, We sold it for 35k (15k Assignment)All in full disclosure and Seller coming to the table with 25k to close.  

I wouldnt worry much, iIt could easily be the buyer couldn't get financing but if you do make an offer and it gets accepted, make sure you get all the disclosures..

They need supply you with a seller's disclosure.  

You can't count on the seller making an accurate disclosure regarding expenses. 

Hi Ben, intriguing idea and I can't answer most of your questions, but the one thing I will throw out at you is that this would likely be considered a commercial loan by most lenders (but not by all) and a lot of folks who specialize in those won't do owner-occupied projects, as the disclosure and regulatory requirements of each don't always jive together.

The problem is I don't believe in being dishonest or not even giving full disclosure.

It did not require an appraisal and measurements were not included and there was no disclosure that buyer need to order measurements to confirm square footage of living area.Unlike other municipalities, Malibu, California uses a different metrics where garage and spaces can be included in the primary residence areal size.In this case, Horiike used a buyer agent and another listing agent both are from Coldwell Banker.