The issue is always how to find deals which is marketing and sales.

One thing my wife and Iearned doing this was the noise from projects can be an issue. 

So we would buy the aceage and since the legal descriptions still called out lot and block we would just start to deed out the lots to get them on the tax rolls and the Assessor would change the maps. 

but working with someone who is local to your market, who can show you their legal documents that they have used, introduce you to a proper title/attorney office for drafting documents...I mean, nothing is foolproof...but that route will have a significantly higher success rate. 

I was able to get 13,000 of them to opt in to receiving a monthly newsletter we issue, and as preciously stated results are 100s of deals or loan requests per year.  

If the seller is trying to avoid legal issues with the city for illegally operating a property I would get out of that.

Get a real estate attorney with some experience in the matter and have them use a PSA and back you up legally, perhaps even help with some due diligence.

Quote from @Bruce Woodruff: Quote from @Stetson Oates: I’m not an attorney so this is not legal advice!!!!

Major issues are lack of parking, lack of elevators, leading to numerous unlived in units.  

It sounds like the issue is with the Debt Service Coverage Ratio (DSCR), which lenders often use to determine how much they’re willing to loan.