This is also a personal decision, covering numerous different question or morality, ethics, responsibility, risk, etc that should not be considered here.  

So the moral of the story, fix and flips are playing with loans because they are not the same types of assets.  

so if you or your investor are looking for moral support or even capital, I've got lots of the former and a little chunk of the latter! 

@Carolyn Morales and @Luke H.I am not aware of similar forums like bigger pockets focused on those types of investments.

Solution #1 - Austerity - it would eventually turn the ship around - but that's 5 or more years of under-consumption, increased savings and paying down debt.. living below our means - which means a sustained weak economy (high unemployment, demand destruction and a slow leak in asset prices).

Moral: If possible get at least 20% down.

The more trusting and less sophisticated, the easier it may be - but that also means you have a huge moral responsibility toward these people.As you do more research, and more importantly look at deals and have these conversations with your network, these things will get easier.Don't take my word for it.

It also makes you look professional and moral and ethical when you suggest that you would like to lease option but you want the seller to have representation that is in their best interest..It takes you completely off the hook for anyone coming back after the fact and accusing your of taking advantage

Moral of the story, just because you make a balloon doesn't mean he can get a loan and pay you off.One of the other hot buttons and perhaps a little story segment is whether the current taxes and insurance are in place and paid.

It's not only the moral practice, it is also good business!!