Atleast I'll get some money back.2) Lender foreclose the house after few months and I end up loosing rest of the money.Following are question based on this options:Q1) Am I violating any law by taking rental money (skimming rent in TX) as I did not sign any contract with any lender for this property?

If the paint causes the wallpaper to bubble, I'd scrape the bubbling areas, skim coat and repaint as needed.  

Taking the good with the bad is part of the game working through brokers, they can't just sell the cream and get stuck with sour milk.

Bill, you were skimming again.

My apologies for not mentioning you earlier (my lame excuse is that I'm on vaca - Now I owe you milk and cookies!).

Someone may have mentioned this, yes I'm skimming again.Get with your bank, drop 30 or 40% down get purchase money and construction advances with a future advance note, when it's done roll it over to an 80% end loan.

Almost immediately I thought 'where's the pool of milk in the back yard' then began salivating. 

First, I'd tell them that the job offered is to skim coat the existing and repair it.

Many guys want to do a sub so they can collect rent, not make any mtg payments, and let someone else go into foreclosure.Wayne: of course rent skimming and eventual foreclosure is a possibility with any sub2.

Another is to solve your insomnia by reading or skimming through the Dodd-Frank and the SAFE Act.However, here's the rub. we have folks here giving links to these sites and most information is simply misinterpreted as the information pertains to registered lenders or a bank or RLMO, not the average Joe doing a deal.So you have to be very careful in trying to read regulatory guidelines and know where you are in the subject matter.It might be better if you just stick with the news networks, but even they get things wrong or make improper implications.