Further investigation revealed that ######## is not licensed to do business in the State of Texas, and ######### is apparently a disbarred attorney.######### is engaging counsel to look into this for us, and title issues that may be uncovered to protect our investment. 

The septic inspections revealed minor concerns, which would cost $7k or so.

Here's a lesson in both patience and in "not wasting time"....on the same deal/property:1 - Offer made, negotiated to less than AP, accepted.2 - Property inspected during inspection period...with major undisclosed issues found...including existing tenant.3 - Offer withdrawn (see #2)4 - 2 months later, property's AP drops to below accepted offer in #1 above.5 - Reduced offer made (again), negotiated lower, and accepted...again6 - New info revealed, during the inspection period, that City has a list of repairs needed...and only 2 weeks to complete before foreclosure. 

Once these properties hit the MLS there tends to be a bit of a feeding frenzy.Either way can work but if you make the right contacts in these areas they can let you know when something good turns up before it's revealed to the general public.

The inspection revealed a number of bigger ticket items and he didn’t think the private money lender and he didn’t think the lender would be comfortable lending on a riskier project like that to a new borrower.I was also starting to feel in over my head with it.

I knew very little about this before I started to take action, but by taking action all the things I needed to know revealed themselves to me and allowed me to get that much closer to financial freedom.

What I am about to reveal below is a chapter of my life that, truth be told - I am embarrassed about.

A call to the Realtor working for the lender, or the Bank's representative (prior to making the offer) would reveal the banks requirements regarding re-assignment.Is this situation USA-wide or just restricted to certain states?

If you inspection reveals that previously unexpected repairs are needed, your counter-offer should reflect that.

In any case, your bank balance would have revealed the whole truth to you in about a year or so.Once you've re-run your numbers, I'd love to know what your actual CoCR works out to be!