To add to what @Caleb Heimsoth said, I think finding a really boots-on-ground contact in the state you choose will be instrumental too.

@Anthony Dooley  I think her question related to buying seller carry back debt instruments not her buying with seller financing.

Would still like to know if what I've heard is wrong... always open to learning.4155.1 4.B.2.b FHA Requirement for Establishing Owner Occupancy FHA security instruments require a borrower to establish bona fide occupancy in a home as the borrower’s principal residence within 60 days of signing the security instrument, with continued occupancy for at least one year.https://www.hud.gov/sites/documents/4155-1_4_SECB....

This community has been instrumental in my success and growth.You will learn so much from this group of individuals!  

The security instrument (deed of trust/mortgage) for the full amount of the loan is recorded against the property but the funds themselves are disbursed over time as progress on the project is confirmed and title is updated.Sometimes the title company (or title attorney, in your state) disburses the funds and sometimes the lender handles this function.

I'm going to not bore everyone with the details, but needless to say, all my numbers presented below are backed up with information.I know one problem right off the bat is I might not have enough skin in the game for his liking.Purchase Price: Not to exceed $275,000 at public auctionRehab Cost: estimated up to $20,000Estimated rehab time: 1 month light rehabAfter Repair Value: $410,000Exit Strategy: Sell to a retail buyer.Estimated total time of collaboration: Not to exceed 6 months.Security Instruments: Free and clear of all loans.

As used in this Section 18, “Interest in the Property” means any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser.If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender’s prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument.

.), the city of LA (and will apply to some cities) and other cities/counties usually have these kinds of instruments when building owners use it commonly in submitting plans or doing it themselves.

I offer them a place to stay that costs less than a motel and has all the conveniences of home.The guys that make alot of money (boilermakers, instrumentation technicians, specialty welders) can afford to pay a good amount of rent each week, but they don't stay here very long.  2-4 weeks typically.The guys that don't make alot of money (scaffold builders, firewatch, hands) can't afford to pay alot of rent, but they are here a long time. 

My HELOC is an instrumental part of my investing.