My believe is its when the bank believes they may collect something from a deficiency.

Also, you may not seek any deficiency judgment as the lender accepts the property as full payment of amounts owing, it is a deed in lieu of foreclosure.A bit more as to Special Warranty Deeds, they may limit warranty for a period of time, but other matters may also be excluded, buying Subject-To, the SWD will except out the existing underlying mortgage lien.

If one bedrooms are are$475 a month then the numbers tell me they are mostly smaller units.I would expect to find an antiquated set-up that locals arenot attracted to with dated if not deficient plumbing and Mechanicals.

Very few prospective tenants ask in advance about how well insulated a building is, but if there is a deficiency, they will let you know.When we get a heat wave, I encourage tenants to block as much sun coming through south facing windows as they can.

I always suggest and practice going after a tenant in Small Claims Court if they can be located due to the low costs +-$150 and/or putting the deficiency on their credit

Check the property regularly (every other month, sometimes), have cleaning fees, and be upfront about these fees you will charge.I find the best approach is to inspect, inform them of any deficiencies, and give them a set period of time (usually discussed heavily during signing) to remedy it that will avoid the fee.

If there's anything that needs attention, they will let us know and give us ample time to correct any deficiencies.

I found there was a deficiency in the return air system.

Purchase Money mortgages there is no deficiency judgement allowed by law.

So I'm looking for some advice on which course of action you all would recommend:1) Keep the tenant (who wants to renew and has paid the rent), despite their maintenance issues and the rumors they're part of some drug cartel I hear from the neighbors... but get a new property manager or manage it myself if I can correct their deficiencies.2) Look for both new tenants and a new property manager (or do it myself since I did a better job vetting tenants to begin with).3) Sell it.