Without REPS, the depreciation will create passive losses that can offset rental income or be carried forward.

Just like all aspects of life :) If you come across anyone needing help I created this website of free resources to share.

Once they exercise seller financing, the property is sold and all 1031 rules apply. 1031 has specific timelines.

Actual foreclosure is on the East coast a Sherrifs sale and you can google the state and sherrif sales and the rules will be on the websites.. but its one of two process's either it requires a non refundable deposit if your the successful bidder or you need full cash at the sale.

That means that bank has its own set or rules/guidlines and can offer exceptions and offer more programs. 

@Caleb Rehg Here is a post I created on student rentals.

If property is done right even in todays market you can hit 1% rule and attract very desirable college students.

Being a one stop shop for mortgage, real estate, and property management helps us save our clients $$$ and they only have one company to deal with and one contact saves time and creates an unmatched synergy.

What I wrote above does not create an attorney/client relationship between us.

So, as previously mentioned, the rules can be changed at the developer's whim.