I always say a happy tenant, is a paying tenant is a long-term tenant.

The only way to accomplish that as Justin mentioned is to take a distribution which would result in taxes plus penalties both on state and federal level, which depending on your tax bracket might leave you only with half the balance you are pulling out, not a wise thing to do in my opinion if the mortgage you trying to payoff cost you 5% (or something close to that) and you could have 100% of your retirement funds invested in let's say a trust deed (via private loan) paying you 10-12% interest, which is completely sheltered from taxes, but the interest you pay on your house is tax deductible.

My question is this; let's say a developer purchases land to develop.

I've came a long way since I first joined bigger pockets. and I finally have the opportunity to land my first deal. 1600 sq ft house in id say a B neighborhood ARV around 116,000. 

Once heard someone wise say "A man convinced against his will is of the same opinion still"You are doing your part.

I'm not going to say a judge would laugh at you, because probably he'd yell at you.

We were looking for someone who could keep the loan in-house and be okay with us quit claiming the title of the home over to our company (and say as much in writing).  

I will say, as far as the original question, mistakes happen.  

I see you post on the forums a lot and say a lot of things that make sense

@John Thompson In addition to James' comments, I would say a plus is having legal backing to wholesale properties.