You'd network with lawyers, CPAs, estate planners, property managers, judges and people who can refer you to people in trouble.Tired landlords, bankruptcy, divorce, death...there are professionals who help these people every day, so be their go-to person for helping the clients sell their homes.

in this market suffering a large negative cash flow while sitting on "phantom" equity is a perscription for bankruptcy

They promised I’d get divorce leads, tax liens, bankruptcies and many others that they could never provide.

What is the best way for a newbie to break into the business with creative financing that has filed bankruptcy (May 2015) and does not currently have any reserves? 

There may be rules in the Bankruptcy Code, the UCC, or the common law of real estate in his particular jurisdiction that would make the proposed course of action entirely wrong.I am not chiding you personally, I am merely trying to impress the need for an attorney to handle legal issues.

Again, the borrower has to go get a loan later on, the deal is then exposed, people also die, become incapacitated, get divorced, take bankruptcy  or they may just talk to their attorney about something else, lots of ways for your deal to surface and unravel under the new laws.

In Oklahoma, we can go to a website (www.oscn.net) that provides records of any court actions (traffic infractions, bankruptcies, sued by lender, domestic abuse, etc.) for all 77 counties.  

A reckless partner can bring down all YOUR assets.There have been many examples where a partner going through bankruptcy, foreclosure and divorce have brought down a partner NOT going thru B,F & D. 

@Daniel Mohnkern Keep in mind that anyone can setup an LLC or bankruptcy remote vehicle. 

Worst case scenario I can throw the property into bankruptcy the day before the foreclosure, drag my feet filing schedules, and buy myself another month or two to get the property stabilized. 3.