What's the process & requirements (e.g. copy of lease agreement) for getting one and would the MTR tenant need to arrive early enough on check-in day to get to the municipal building that probably closes at 4 or 5 PM?

FHA loans may allow for lower down payments if the property will be owner-occupied.Owner Financing or Creative Offers:Explore properties where sellers are open to owner financing or lease-to-own agreements.

I do accept partial payments with a written agreement only.

Original poster: this is a debate you're never going to get agreement from on the extreme sides of this equation.

Then, about 4 months ago, we reach an agreement with the borrower.

Provided you are sticking to the letter and spirity of your rental agreement, you have to set boundaries People that get indignant over you setting boundaries are not worth worried about. 

It's a balance of cashflow and wealth accumulation.One of the goals is to have tenants pay as much of your cost-of-ownership as possible (loans, taxes, insurance, etc.)In high-cost areas, any Class A or B property you buy will usually negative cashflow for the first 3-5 years, until rents rise enough to cover the negative cashflow + rising taxes & insurance.Investing OOS increases your risks because you may not know the market and you can't check on everything/everyone all the time.If you move forward with your buddies, HIGHLY recommend creating a solid Partnership Agreement!

Hi BP.I have a tenant who has NOT paid rent for this month (August), rent is due 1st of every month according to lease agreement.

Typically I do not spend a penny until I get it under agreement (inspection etc).

Quote from @Jonathan Grzeszczyk: I agree that the motivation and problem is the core, but the first question is always where are you going when we come to a win-win agreement for you to sell me your house.