These are called fractionalized or multi-beneficiary loans.

I would be purchasing a fractional interest (I'd be buying a $100-200K piece of the whole).

Only a fraction make it to sale.So the answer to your question depends on your state foreclosure process and timelines, how often you go knocking, and what you're trying to accomplish.For example, if you are trying to buy these houses, you might need to visit them two or three times before you have any rapport. 

Starwood has a number of brands.Starwood operates fractional ownership condo hotels.

You need absolutely need to research and ask about fractional bidding/ownership before you bid, so I'd suggest asking your attorney to explain it.For example, if you bid at less than 100%, which my understanding is very common in online auctions of this nature, you would be unable to get full ownership of the property after a year, but you would still have full co-liability with the owner, and either live with that liability or take out an insurance policy to protect yourself (which could be costly, as you won't be able to give the insurance company access to do an inspection).There are also issues/difficulties with title insurance, prior and subsequent liens, etc.

A lawyer, who's verifibly been to school and passed the bar and will stand behind his work will charge only a fraction of that price.You're being ripped off by a con man.

That sounded ridiculously out of my reach in terms of money.Then I asked me realtor on his advice, and even though he is not a rehabber, he estimated the costs to repair to be at least in the 100k ballpark, and materials alone would be at least 30k.So here comes the interesting wrinkle, I talked to my friend who is currently the super in my apartment and he swears he has his own crew who can build out everything I need from this complete gut rehab for a fraction of the costs.

It doesn't make any logical sense, and how are you figuring 90%.What I am really asking here is this:Investor goes in and purchases for lets say 50% LTV, say 55% after fees.Sells off to seller with some troubled credit at 80% LTV and agrees to carry the 2nd knowing or intending full well on writing off the 2nd as a loss or liquidating it at a fraction of face value if the buyer doesn't follow through.The way I am viewing it, it wouold seem that the bank with the 1st is in the primary position to benefit from there not being a 2nd position note as it provides additional revenue to the 1st position holder for thier payments, but it doesn't constitute fraud.

The town's process for calculating property taxes may be to use an assessed value that is a fraction of the FMV.  

And if you use a 5% down loan or 3.5% FHA for your first home, you need only a fraction of that time.In Pittsburgh, Cleaveland, Detroid etc about 4 years.