Also consider when you sell house with seller financing to owner occupied person as their primary residence you cannot balloon per Dodd Frank.  

Does anyone know stats on this or have personal experience in this region?

It's important to understand that a person can sue another person, but that doesn't constitute a judgment.

@Nicholas Nakamura can you make a trip out there in person? 

@Kyle Cross, correct me if I'm wrong, but I think maybe what you're getting at is potentially pitching to your parents that you would like to take a shot at personally managing the units to gain experience and some form of compensation.

Quote from @Elizabeth King: I have a property in my personal name that I plan to rent annually. 

My expertise is deal analysis, buy and hole strategy (creative financing) and personal finance. 

It is regulated and you need to learn the law before accepting any funds from another entity (person) in a syndication.

Personally I’d wait and see what happen.

IF it was not on an auction site none of the information would be known unless you do your own research. they could say its a 3bed 2 bath home and you go buy and its burned down (seen that before). 100% is on the person bidding at auction.