I can see though when sub2's and L/O assignments blowing up start getting attention in the right places, things will likely change.I met with the proverbial little old lady today who let someone talk her her into a sub2 (they said they'd take over my payments).  

Not to steal your thread.. however I think you will get a kick out of this.one of the ones I bought his year in North Portland.... the rumor from neighbors was there was a car in the basement.. well there was no driveway or any way to get into the basement from the exterior so I did not believe it.. we finally get possession after 2 years ( had to litigate it)  and lo and behold my trash out guys says there is indeed a car sitting in the basement.. so apparently this hoarder extreme took it down there piece by piece and put it back together. 

This is true Matt, they have to move out to LIttleton, highlands ranch, or farther out sometimes to colorado springs just to get a home, however secretly they probably want to move into berkley, sunnyside, or Lo-HI areas.The GSE's have been putting pressure on how they want us to calculate debt to income ratios when it comes to student loans this past year.

DU/LP approved   CheckCustomer fico scores  CheckMe calling the listing agent to confirm this is a go and get the deal done    CheckProof of down payment   CheckThere's a lot of really slow, bad LO's out there that have messed up so many gov's loans it makes it harder for the guys that know what there doing to get deal. 

., and then some other suitable offer for the situation (short-term L/O, equity split, etc). 

I see you're using Joe Crump's LO sites.

Lo and behold none of them would go on record on the DF act.

There are narrow exceptions where FHA would allow you to use departing residence rental income, get tight with your LO that knows your full scenario. 

The underwritting is a little more strict and there are some more hoops to jump through but I have a good relationship with the LO and he knows my situation so things usually go more smoothly than the average transaction.Unfortunately, Its most likely going to be local brokers that will be able to be the most flexible with their underwritting terms and they just sell the loan right away (most of the time to Wells) so they really won't be held accountable for anything.

Bill knows this stuff better than I do, but I tend to do real life over letter of the law.From a buyer perspective I'd never buy with an L/O over taking it Sub2, you have WAY more control owning it than leasing it.I've done over 100 sub2's and have never had, nor heard of a bank calling a loan due.