The legitimacy of the contract probably only really matters if you have to go to court/arbitration to enforce it.That said, your title company would be a good place to start in terms of getting a legal review, I'm sure they have a real estate lawyer(s) on staff or retainer depending on the state.

To make matters worse, the IRS will recapture all of the cost-seg stuff that lowered your basis, which means you will be taxed on a significant gain, even though you lost money.

An insurer owes no duty to investigate the condition of the title and makes no representation as to the condition of the title inissuing a title insurance policy.EXCEPTIONS FROM COVERAGEThis policy does not insure against loss or damage, and the Company will not pay costs, attorneys' fees, or expenses resulting from the terms and conditions of any lease or easement identified in Schedule A and the following matters:4.

Hello Friends,I am new to this forum or real estate investing for that matter. 

As I stated above this does not matter because banks and brokers do a lot of different gimmicks to try and make their rate look better. 

This is because once there is a 2nd lien heloc, they will need to subordinate to a refinance of the 1st lien, and sometimes that can be a messy experience, depending on the heloc lender and their guidelines.Obviously the cost of refinancing matters too.

(It may not matter if it's truly good deal.

If you need assistance with the setup, my best friend is a lawyer who specializes in these matters and can help.

I don’t know if it matters or not but it’s a duplex

I'm in urgent need of some guidance on the best way to approach this matter before pursuing litigation.