If you sell directly to a homeowner, the issue can come back on you and bite you in the a...  

I am not aware of any issues with using third-party screening services. 

If need be, I can/will go down the legal path again, but I would like to avoid it as I want this property flipped ASAP. 

@Brittney YangFor the actual legal document, get an attorney.

LLC's main benefit is from a legal perspective.

You can sell a property with tenants with no issues the only thing is you wont see as good of a price for the property since it will likely be an investor purchasing it.

The problems you mention are just known issues.

It seems there are still issues with the San Antonio project.

My humble advice to anyone attempting to do creative finance is:Creative finance is for experienced investors who have access to capital if anything goes wrong.Learn the lawsDon't use a contract "off the internet", laws vary by state and are also regulated on a federal levelLearn the financing techniques correctlyDon’t skip parts of the processDon’t ever do a “kitchen table” closingUse the proper deedAn attorney can help you with the legal work, but the rest you are on your ownYour guru will not bail you out“Investing” in someone else’s deal by providing a small 2nd loan so the “investor” can pay for “cash to the seller” and for “closing costs” so he can do the deal is a very bad planKnow what problems can ariseLearn the responses and solutions to problems before they are neededKnow everything there is to know about Title and what that meansKnow who a "protected class" individual isLearn the "back doors"Learn human natureUnderstand timelinesUnderstand regulation enforcement (some of these "mistakes" have a 10 year statue of limitations ( they can charge you 10 years AFTER you do the transaction) and carry hefty fines and possible imprisonmentThe court doesn't accept "I didn't know" for an answer"Know that the source of the lead plays a serious role in some states and federallyKnow how much of a "profit" pushes the boundaries to invite an investigationYou can be sued by the seller if you don’t do things correctlyYou are automatically at fault if an investigator or attorney or regulator gets involved.

Most negative comments come from competitors, those nitpicking minor issues, or people who haven’t worked with the company at all.