To date I haven't lost any money, but I've wasted a little (negligible amount) time with people who weren't what they said they were or didn't have the means/motivation to get the deal closed. 

Do you look at medical debts differently than someone who is just being negligent with credit cards or is it all the same to you?  

If named in a lawsuit and found negligent, the court could force the sale of the property to attempt to acquire the $250K equity.

If something happens over a period of time OR it was intentional or negligent on your part then it will probably not be covered by insurance.Mold does not happen suddenly - it is generally considered a maintenance issue.Fuel Oil tank listed above - if it leaks over time that is not sudden so... also a maintenance issue.A tree branch hangs over the roof and over time damages the shingles - not a sudden event so no covered.

The interest in this deal is strictly via the premium purchase price.. there is no other interest, thus making the 700 monthly payment 100% principal reduction.Paying the premium is done for 2 reasons: (1) Essentially negligible down-payment, which frees up cash for another deal (2) Interest-free monthly paymentsThe final monthly payment would cover the balance, so it comes out to to about 1200 (a baby balloon). 

But purely due to my own negligence as opposed to an inability to afford to pay what I owed, one of my loans went into default and I was put on a rehabilitation plan for 9 months.  

This was not the case however, this was pure negligence.

All of these things would increase the cash flow, which increases the value thus making it a “Value Add” opportunity or project.Typically when a “value add” opportunity is taken out to market it is advertised as such and usually these properties are distressed, have a lot of deferred maintenance, occupancy issues and or have some other functional problems such as poor management or negligent ownership.

I think the sellers are flaky, unreasonable and negligent, as is their agent, too.

Landlord will pay the entire cost to repair the following items not caused by Tenant or Tenant’s negligence: (a) heating and air conditioning systems; (b) water heaters; or (c) water penetration from structural defects That's it!