More deals are killed by procedure and regulations than anything else it seems. 

Are there any rules, laws, or regulations regarding this?

SFHs are largely exempt from many regulations such as rent control.

@Jonathan Greene @Jay Hinrichs @Nicholas L.Note: Each state has their own way of handling and regulating foreclosures, and as someone who is not specializing in foreclosures I can give you only general ideas and information. 

Bacon is more yummy than a Christmas tree, but I bet I'm going to have a whole lot less regulation growing Christmas trees... however, before we even get to that, it's necessary to know that the inquiry is even about bacon v Christmas trees, rather than Bacon v grapes. 

Seacoast NH, for example, has some great potential with short-term rental markets (Airbnb, VRBO), especially in towns like Portsmouth or Hampton, but the regulations can be a bit tricky.

Careful going outside state lines -- contract for deed is not allowed in Texas.I didn't think COD is illegal in Texas, just perhaps not recommended anymore, because it is difficult to comply with the rules or regulations. 

STRs are an option too, but you’ll need to navigate stricter regulations in some areas.

Neither do the Regulations 1.761, from what I can tell.Further, in the 2018 Argosy case where the taxpayer was a H/W LLC, the Tax Court said: "...Petitioner contends that a Mr. and Mrs.

So you missing that investors are well compensated for the risk associated with the various policies/regulations.