They claim they will buy a persons house if they can't sell it.  

There is also repair expenses, closing costs, business license (possibly), LLC fees maybe, Insurance to protect you from claims made by tenants, vacancy and there are other expenses I'm sure I'm forgetting.  

I do agree most of the overpriced housing was caused by greed and unrealistic mortgage guidelines.

I have only one property that has not had my initial investment pulled out.If you want initial cash flow, So Cal may not be the place to invest but its measured returns have surpassed virtually everywhere else in the US (so claiming somewhere with sub $200K properties has had higher returns than So Cal is not based on facts). 

I guess the other way would be to quit claim deed the property, deed and note, to my MAIN company that I will keep open, right? 

For future AZ investors, don't put more than $2500 earnest money down on your offers because $2500 is the limit for small claims court in AZ and any more money it gets complicated.....

I suppose there "could" be an investigation into the fire damage and any potential insurance claims.  

Take them both to small claims court.

You have three options:He just quit claims the property to you and you continue making payments on the underlying.  

Does anyone have advice on how to conduct quit claim deeds during a wholesale deal?