One tip: focus on areas with year-round demand and check local regulations early—they can make or break a deal. 

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

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

I invested 6 figures about a year ago, and only got one distribution and that was only after numerous calls and emails. 

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. 

Big cities tend to have more regulations, more crime, more leftist-leaning policies that hurt investors and private property rights, etc.

Search the BP for ADU appraisals to encounter numerous examples.

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.