In California, is it required that you use the C.A.R. purchase and sale form specifically?

Are there specific factors or trends you would suggest evaluating to make a more informed decision?

The borrowers could be paying their mortgage to scottsdale or scottsdale most likely sold the loans - when you invest in a syndication you have rights to manage the specific assets unless he gets a court order which there are also many other investors involved. 

Between losing the Homestead deduction (+$700/yr in property tax) and a negative cash flow, I don't see a solution.

Others will have more specifics to share.  

Once the option period is up, cancellation would only be for items specifically named as contingencies, such as financing.   

I think there is a big opportunity around some specific spots around Atlanta in the next few years. 

@Pete Tarinthere could be tax benefits - you might be eligible for passive losses, but it would be specific to your situation. 

Which specific cities are these new builds ?

This is very much lender-specific and will vary.