And when it comes unraveled, implications CAN BE extreme, INCLUDING jail/prison time for it. 

Had we scheduled the closing in the morning, there would not have been an issue.The only potential upside is that a disaster area declaration triggers changes in mortgage rules that could beneficial to the buyer. 

For those who’ve structured wraparound mortgages, what strategies have you used to avoid triggering the due-on-sale clause?

We understand that but frankly we are extremly reluctant to ablidge.

If you can find that deal, pull that trigger.

Quote from @Brandon Croucier: That’s a killer loan if they are actually offering that.Seems extremely below market value as even primary mortgages are higher than this right now.I would beware of a bait & switch on this. 

If you already have existing property and transfer property to an LLC, then it could trigger the due on sale clause the bank.

  ( Maryland )  Small parking lot 12 cars plow and salt $450 . 2 in trigger Costs are regional for sure 

Campus housing has been under tremendous headwinds for the last 4 years.These properties were sold with extremely aggressively optimistic projections, as well as a price that represented a significant premium to fair market value.So sorry to hear about your investment.

I would recommend starting in your backyard and hone your skills if its possible, I know some markets have an extreme HCOL which may make it unfavorable in your case.