Wish more people would study up on Internal Revenue Service installment sales for residencesIt's important not to confuse the seller about the toy using and teach them every in and out re: the legality of installment salesThe wonderful thing about a private mortgage is it's a note that can survive the seller's death, and if they love their kids the kids will get the money surviving, and if they love the church or college, the charity can get that cash flowThink about this get 10 houses on installment sale that cash flow with the tenants paying the private note and down the road you will have 10 properties free and clear without even going to a bank to buy them!

I think we need to reiterate that the principal in this case is the surviving heir of Vendor.Since we don't have the documents to review, the terms of the contract are momentarily irrelevant.

You still need money to survive.  

Of course the -65%  property is cashflowing nicely and much better than the -20% (and also appreciating), so during the buy/sell exchange I also have to buy as well or better.If (a) Optimize strategy is the ideal buy/sell and time correctly;and (b) Survive strategy is to ensure I don't have to sell.If I don't think I can execute (a) then what are my options - how to do I have cash to buy without selling???

Those typically will list the surviving spouse (if any) and surviving siblings, children, grandchildren, etc.

Make sure you define the exit so the surviving partners don't get an unwelcome surprise.Whatever you do, don't go into it lightly.

I’m surviving somehow but of course I look horrible to lending institutions.

@John MarinoYou can be a real estate operator instead of investor without using banksLow equity deals, buy subject to or wrap aitd , exit strategy lease or lease to ownLow equity deals,lease to own and then assign for a feeMinor rehabs, do a joint venture with the seller instead of a wholesale, use private money for the minor rehab, create a note for the seller table for months after the rehabFree and clear houses, learn about installment sales at IRS.gov, offer 105% of FMV but get  the payment of installment sale low, search imputed interest table on the IRS site, show the seller that installment sale private mortgage is a way for them to further their retirement plan, and the payment can survive their death, payment can go to their heirs or to a charityThere are more things you can do without banks :)@Josh Caldwell

The other 20% clawed their way to survival by lying/cheating their clients.Yes, this is partially an exaggeration, but there does seem to be a general disdain for this profession.

I know that the 1st mortgage survives the lien and if I were to win the HOA auction but my question is how can I find out how much is owed on the mortgage?