No , it could be abused 

In Oklahoma, we can go to a website (www.oscn.net) that provides records of any court actions (traffic infractions, bankruptcies, sued by lender, domestic abuse, etc.) for all 77 counties.  

So they abused the house while they were there and now we are stuck with repairs and payments (until we rent out to the next family).

I received some advice from someone whose only job in life is to take money from "greedy" landlords and give it to "deserving" and "abused" tenants. 

Then you have what is a very dangerous thing as well were you have all these newbies and wanna bees with no real capital get into the deals then can't pay the underlying because they are thinking hey I will just flip it does not hurt their credit and they only stand to gain.. especially when people get into these deals with a few hundred bucks.. then you really have the scoundrals who never make a payment and rip the rents for as long as the foreclosure process takes.. and in some states that is a long time.So Sub too being a viable strategy in the hands of the wrong person or someone with your attitude ( hey by the time they figure it out and foreclose I will be down the road) is a dangerous deal for the poor seller who gets totally abused credit wise and emotionally .So its seller beware.. and It would be great if you would think about the seller not the person trying to do this and get a sense that they are off scott free and who cares if a loan gets called.

People tend to be creeped out with murders, violent acts, or where abuses have occurred.  

Also, regarding safety against a Ponzi or Bernie Madoff scenario:-Are funds safe from such abuses with a custodian of SDIRA or Solo 401k or could a custodian shut their doors and you lose everything?

Primary issue on rent back was that is was so abused they decided it was simply easier to say no then to try to craft rules around it.We had one guy in CA that would approach homeowners (in foreclosure, with equity) with the pitch that he'd take over their payments, rent back to them (super cheap), and then sell the house back to them when they were back on their feet for $1.

So, if you plan to abuse the LLC, there is no point in creating one.  

I would also like to dabble in wholesales and flips for some quick cash and to experience the pride that comes with breathing new life into a forgotten or abused house.