If you're working bulk REO you will always encounter non-performing notes.

I just created a blog post on my BiggerPockets Blog which can be found here: http://www.biggerpockets.com/blogs/63/blog_posts/1512 which talks about the relationship between the cheating Manny Ramirez and the cheats we encounter in the real estate industry.Check it out and feel free to post your comments here.I will take the higher road!

Sounds crazy to me, but I've just encountered this.

At least, I've never encountered two that are alike.

If so ,what were some of the obstacles you've had to encounter ? 

That way you can make sure you're pricing it at market value or just below because with the flood zone it probably won't sell above market value to make-up for extra costs you encounter along the way.

Today their repair guy was there and put a sticker on the washer that it cannot be repaired and will be replaced.

Each time I encountered a problem I looked to improve the process that lead up to that problem, not just solve it.

In this case, buyers will be scarce as they run the risk of being compelled to restore the building to a SFR.In short, your friend will likely encounter a stiff headwind selling this property.

The biggest unexpected sticker shock was having to pay a plumber ~800 just to run the gas line 10 feet.