If it was a sole proprietorship (which it sounds like it was), that counts too *AS LONG AS YOU DECLARED THE INCOME*.

How you jointly own the property will impact how the income will be declared between you.

I had the same issue with one of mine - two tenants in a row who got way behind on rent and eventually declared bankruptcy.

Says:The following is added tot he loss payment property loss condition in section I - property, as shown in the declarations or by an "a", "b", or "c" in the schedule:A.

Your realtor is correct in that you have to declare which type of financing you are using to purchase the property in the purchase and sale contract.

See article below:http://www.philly.com/philly/business/Judge-declar...

Your personal guarantee only means something to a lender if you have the financial muscle to back it up. 

The default section should spell out whether the death of the borrower is a default allowing your parents to declare a default and insist on payment in full upon the son inheriting the property.

Supposedly We can only start the eviction process once the "analyst" signs off on the Declaration of Intent to Evict for Landlord Occupancy (2-4 weeks), and after we have closed escrow.

It was in process of being converted into a 5 unit (5200 sqft) when the last flipper declared bankruptcy.