Send them notice of balance due, file collections, and sue them in small claims court. 

If your state has a security deposit cap collecting the year up front is problematic. 

Link below.Per the forum post, you only have to pay interest if you collect a greater security deposit than one month’s rent, and then only on the balance that is greater.

IE post this.Brian B did a little research the property was lost to foreclosure with no bidders so there is no overage to collect those investors lost everything.. unless these sponsors are going to make them whole.. which I suppose could happen. not likely but it could 

In some states sellers can collect EMD no matter what, but in MD for instance you are entitled to get your EMD back if you acted in good faith and still had your loan denied.

so the way you do it is : buy/rehab primary-->rent it out -->collect lease -->HELOC it---->apply primary with showing the lease so DTI reduced-->continue or sell after 2 years , you can mix/match between the two, basically for every primary, your job is to make sure you have Dscr>1.0 and keep moving.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with zero or negative relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, recent evictions.

At any rate: the collective group is thriving.

Maybe he sends it to collections and you don’t pay and just constantly challenge it so he can’t really collect—maybe he sees pennies on the dollars.

If anybody has done this, do you collect a point and the rest goes to the investor?