(I try to make a habit of always checking to see if I can get a discount.)Anyways after looking around and examining my situation a little more closely I decided that right now would not be the best time to buy for me.

A simple examination of the National Association of Realtors® Code of Ethics Article 4 outlines specifically how agents are to conduct themselves (if they are Realtors® that is) if acting on their own behalf.  

Borrower had never had a late payment, but the examiner did not like the way they made their income - Bingo rather than the normal giving of the members.  

What I would recommend is examining their paystubs before you run their background/eviction check. 

He examined the second-floor bathroom, where silver faucets were offset by walls painted in a “toasted almond” color, a pairing seen in many Starwood Waypoint homes because the firm purchases those items in bulk.

I'm hoping to sit for the exam in the next two weeks.

The question on the exam in question is clearly referencing this type of illegal flipping, which is still illegal.Now unethical flippers will most likely open themselves up to civil liability, which they probably have some protections against depending on what entity they use to do the flip in.

Incorporation is NOT required to invest in real estate but a good examination of your long term goals would help determine if such a move is necessary.  

It does not matter whether you choose SFH, MFH, mobile homes, strip malls, or hotels...the true determination of your success is how well you know your strategy and your area.Having said that, I would recommend examining your motivations for SFH.

The investor is obviously doing a lot of things incorrectly (and you shouldn't want to work with him), but you're also doing a lot of shady things:- No insurance- Not pulling permits- Not filling out a W9 (or charging for taxes separately)I would suggest you cut loose from this investor, but that you also examine your own business practices and make the appropriate changes there as well...