I would probably walk on this deal and definitely would not pay more than $100 - $110K without a guaranteed short term exit and a certainty it would rent for $900 - $1100/mth.As for your financing plan, you can do better than 2.79% ... we renewed a couple of properties earlier in the year on a 5-yr term variable notes for 2.4/2.5% - these products can be converted to a fixed rate at any point in time if there was a real threat of a spike in rates.

Most of what contractors say in regard to liens etc. is a lot of hot air and idle threats.  

I may start with the threat of eviction first to see if they will pay though.

His little empty threat doesn't do that.

Cyber-bubbly all around!

Unfortunately, we live in a litigious area; I have heard threats of lawsuits tossed about too easily in these parts and sometimes to the most well-meaning of people.

a wholesale contract should be no different than a regular transaction with the exceptions of a few special stipulations.Two things investors look for.. legitimate equity and great cash flow (most people desire areas that are not constantly under the threat of crime).  

While the HOA was huffing and puffing with threats of a lein from their lawyers, he took a cash out on the property.

The Fair Housing Act does not apply to:Owner occupied buildings with no more than four units andSingle-family homes sold or rented by the owner without the use of an agent In addition, landlords can deny an ESA if the ESA poses a direct threat to the health and safety of others or would cause substantial property damage.

This is definitely a dilemma, for me I would keep my options open and only move on this if you truly believe in it, I personally don't like to straight up break rules, especially when there is a potential threat of them coming down to enforce them.