Most tenants never simply acknowledge the damage they do and they don't think they should have to pay to rectify the damages.So, if virtually every tenant does some sort of damage then any damage your existing tenant does is not more significant than what every other tenant does.

I received a letter from them acknowledging the receipt of application but it mentioned that foreclosure process had been initiated.    

Recognizing the complexity of the venture, I have outlined key components that I believe are crucial to success:1) Securing Hard Money/Private Lender2) Establishing a Real Estate Agent Relationship3) Identifying Properties with a Minimum of 12% ROI (After Comprehensive Analysis)4) Finding a Reputable General ContractorI acknowledge that the above list lacks some context required for successful execution.

While acknowledging this issue, my primary concerns lie with the potential ramifications on increased property taxes and insurance rates for my properties.

Just got an acknowledgement, and assigned a case manager.

.- You'll need a Specific Power of Attorney from the seller, to sign for them on any existing loan docs, regardless of who the lender is.3) You'll also want seller to sign a disclose acknowledging they understand the Due on Sale risk and everything above.

As a boomer aged individual myself I would be remiss if I didn't acknowledge the support that the government provided to many of our parents to help us get started.

Being able to acknowledge when our predictions are wrong is vital to being a good investor.

(Which to your credit you do seem to acknowledge!)

I'm concerned that they didn't acknowledge that they are aware of the settlement on the offer, and if I accept the offer I lock the house for other offers while they inspect, and then they come back with a much lower price.