Any type of judgement or lawsuit the seller experiences could result in a lien on ' your' property. 

Lender may require you to sign a COJ (confession of judgement) or actual deed in the event of a default they can transfer ownership.

Keep in mind, properties sold at 20%+ below market value typically sell to all cash buyers since these properties typically have tenant issues, deferred maintenance, and/or liens/judgements which banks shy away from. 3.

It's a judgement call and as with anything, if you don't have the knowledge or experience, ask someone who does.

I just need to use my better judgement and decide how to word it.

That way they are aware of the situation and can make a judgement call on the loan at that time.

I don't have a specific judgement against the renters.

They both had 2013 RENTAL JUDGEMENTS on their records.

I would hope it would come down to a judgement call on what's "reasonable" and what you can substantiate if you were ever audited.Thanks for making me smarter today.  

There is also:State tax lien filed by the OK Tax Commission for $1,300A judgement from Wells Fargo for what appears to be a credit card debt for $12KSo, if I foreclose these should get wiped since they were filed after my first position lien, but if I get DIL, will I have to deal with the WF credit card judgement?