They won't cover anything pre-existing, so if its already leaking, they will deny the coverage. 

Hey all, foreclosure newbie here.I am hoping I can leverage what cash I have to get a property with a preexisting mortgage that I can take over to rent out and be cash flow positive. 

HOWEVER, if you already knew about a pre-existing roach issue and maybe failed to disclose it to them properly/didn't set correct expectations when they moved in, then it's on you. 

The Sellers and Seller's agent is claiming that none of these were damages from them or that they are pre-existing. 

Calling people on the do not call list or bulk texting people you have no pre-existing relationship with. 

I know I had a pre-existing relationship with these folks, however, the important underlying lesson is that forming and maintaining trustworthy relationships is extremely important.

Agreed....property taxes, a mortgage balance, any lien on the house....none of these are considered “closing costs”, they are a preexisting debt the seller owes and it comes out of his proceeds, period.

I dont know how well pre-existing tenants were screened.

This is a commercial loan being made to our pre-existing LLC.

Just having a pre existing relationship does not mean you do not have more work to do.Why not find someone you can actively partner with on your deal?