We're looking at a rather large loan and I feel like we could go down a different road if this place is not legit.Thanks. 

2) How well do you understand the differences between Class A, B & C?

Also, I've recently learned about these different REI tactics.

Most do a LLC but again it can be very different - for example I have a C corporation, had a S corp, had a LLC etc. and each one for very unique and different situations. 

There are Different ways of structuring lease options.

This matters as different auctions are prone to different title issues.

Steps: you go under contact with the owner of the property, you assign the purchase and sale agreement to the end buyer, the end buyer closes, and you get paid the difference between the agreed-upon price between you and the owner and the intended purchase price of the end buyer. 

I'd price out different layouts and find someone like an architect who specializes in this. 

However, it sounds like you are confused about the different types of auctions that exist on Auction.com. 

You are correct; it would be awkward having two different parties staying on the property.