Hi Bill probate is closed now but the family hasn't made any mortgage payments ,nor property tax which brings me to worry there's over 200K in back taxes owed on the property since 2008 i live in the District of Columbia I believe the owner has up to 3 years to pay off the tax lien or the lien holder can start the foreclosure process due to non-payment.

Take care of all of the closing costs, and ALSO spawn an exit strategy should the current lien holder exercise the due on sale clause.Much good luck with this!

If you are an active rehabber or rehab and holder as we are, it is really important to have more than one good GC in your arsenal.

Master lease triggers it unless the owner arranges this in writing with holder.2.Sub2, Wrap, Lease/Option - same problem.3.If there is no underlying, owner-financing is the best option, and within that note and mortgage or deed of trust is the better option as this would give you legal title in lieu of only equitable title as with land-contract.Thoughts?

You've sold an option that gives the option-holder the right to buy.

For example, if the developer (10% equity holder) becomes unavailable, what does it really mean that I am responsible to myself for the loan and for the rehab?

I use this to make it simple for the seller and sometimes because I want to negotiate with lien holders and get the benefit of that negotiation.Just as often the seller takes care of back taxes etc. but of course it is all handled at the settlement table so the seller doesn't come out of pocket it is just paid from his proceeds from the sale.Yes I take it to a title company and do a traditional settlement.

If you actually do get to the point where you foreclose on the house due to taxes not being paid does that wipe out all lien holders?

Trying to sell part of a contract you probably wouldn't get anything, these obligations are not like a mortgage note.Selling a CFD is really selling the property subject to the contract as the new contract holder will need to deed the property to the buyer when the contract is completed.

As a certificate holder, you would be notified if coverage is dropped.