Pat, that would be a red flag for a note investor.. although you could try it and list it on FCI exchange for instance and see what happens.

Now if there are other red flags, then maybe not. 

I did some research on the 203k and so far it seems like more red tape to maneuver through, however I haven't ruled it out as an option. 

I thought I was relocating to Redding, but jobs took longer than expected.

When I called back with final negotiated numbers and had it under contract, they said my score came back 725 (middle of the 3 scores) and they now want to add $2000 in closing fees to get me at 5.75 OR they may be able to do the loan with 30% down but they would have to look into it.

Before reading your post, I spoke with them as they are used to doing Subject To deals and they said that the policy holder would switch to my entity name with the mortgagor's name as secondary - I am interested to see what their feedback is with your suggestion -- as your approach seems to send less "red flags".

I always tell clients that if a bank is throwing up a red flag over some issue relevant to you as the investor, or over the deal itself, then there is real risk that should at least give you pause.

@Jason Matthews, The ones where everyone wins, or that leaves enough meat on the bone for your end buyer, along with minimum complications.

My mortgage payment with property tax, school tax and insurance puts me at $558 dollars a month.

They finance large multi-family properties with very attractive terms, albeit you'll have more red tape...