Locking up property, and then walking if not able to assign, and no intention to purchase is FRAUD BY INDUCEMENT.

@Casey Mericle  as I recall and its only been 35 years ago  LOL.. my owner developer was offering these as an inducement to buy his product.. it was a freebie.. have to dust off the cob webs

Additionally, I would expect that this would induce the tenant to retaliate with heavy damages to the property - - broken fixtures and holes in the wall. 

@Scott Meyers  thanks Scott was just wondering if you were locking into some specific stat.being CA native its about on cue that every 10 years or the market does a swoon.. then comes roaring back.I look at my business life in CA.. mid to late 70s recession  with the war ending.mid 80s interest rates at 20% plus SL melt downfor us late 80s was induced by Earthquake and the war in Iraqthen dot com bubble burst.. but that was short lived.then the Mother of them all the GFCSo when I think of these that personally affected me and my business they all had different trigger points.With a lot of it simply being media and consumer confidence and people following the herd.

NO WHERE did I read that I would have to use PERSONAL MONEY to close on the contract costing me a total of $37,500 in which I don't have.. and when I let the Seller know that I would be sued for Fraud by Inducement!!! 

First, getting a property under contract with no actual intention to close is "fraud in the inducement".Second, in every state I know of, you cannot legally market a property that you don't own unless you have a real estate license.With that out of the way, let's assume that you do close on the property.You'll be faced with evicting the tenant.  

A lot of online auctions are crack-induced fantasies.

If no money has changed hands, you should still be able to withdraw your offer.Of course like most wholesalers who don't double-close, you could be charged with "fraud in the inducement" by entering into contracts that you did not have both the intent and the means to fulfill.And if you are trying to flip the contract (as opposed to a double close), you could also be charged with practicing real estate without a license.I'm not an attorney, but at this point, you need one.

If you get into flipping contracts (property you don't own) in MA without a real estate license and also working under a licensed broker, you're exposing yourself to a charge of practicing real estate without a license as well as a potential lawsuit for "fraud in the inducement" if you enter into a contract without both the intent and ability to close.Also, be sure to study up on MA landlord/tenant laws. 

First attempt, got in touch with a guy who ended up forging his plumbers license and plumbing permits to make it seem like he pulled them to induce me to pay him which I did.