Others may have comments about legalities and tax issues you might encounter along the way.

I am confident that if 100 investors here on BP were asked what factors they have used/encountered, 99-100 of them would not say 25%.As for your why don't I just buy them comment, I have.

HR 1728 would be extremely harmful to thousands of your constituents.It will exacerbate the problem OF foreclosure, as fewer sellers will be able to sell their homes to avoid it, and CAUSED BY foreclosure, as fewer buyers who have recently experienced foreclosure will be able to re-start the process of home ownership inexpensively and easily by negotiating owner financing.Thank you for your consideration;NAMEPerfect Properties, inc.Phone numberemail*IF YOU ARE A NOTE BROKER*Dear Senator [name];My name is Clint Hinman and I have been a resident of Washington since 1993.I am writing to encourage you to vote NO on HR 1728, the "Mortgage Reform and Anti-Predatory Lending Act".While many of the provisions of the act are positive steps toward mortgage reform, the inclusion of private property owners in the Act (see section 101(3)(e)) will enormously reduce the housing choices of Washingtonians and the ability of homeowners to sell properties in a market already languishing from an abundance of unsold properties.As someone who buys and brokers owner financed notes, I encounter hundreds of instances every year where home sellers and buyers came to an agreement for an installment sale on a property that the owner desperately needed to sell (often to avoid foreclosure) and the buyer desperately wanted to buy, but could not raise the down payment needed for conventional financing.In every situation, these sales were win-win deals for the buyer and seller: The seller was able to get rid of an unwanted property to a buyer who loved it, and the buyer was able to get a new home at an affordable payment and interest rate with none of the usual costs (points, application fees etc) inherent in conventional mortgage transactions.In Washington, these transactions are already regulated by state law.

What you would most likely encounter from a commercial perspective is a 30-year, fully amortized loan product for purchase or refinance that can be used for both single rental properties and rental portfolios.

Christopher Velijkovic, here in the south buried oil tanks from the 70's and 80's are a pretty common thing to encounter, so they honestly don't scare me very much anymore.

I encountered this scenario personally a few years ago.

Again, this is only because I went over my entitlement.Most lenders I that I encountered wanted to know that the original property was income producing prior to financing and taking the risk on the second one.  

Mortgage brokers see your other mortgages when they pull your credit report, so your choice is to either tell them you're living in all the houses or that you're not reporting your rental income.When they hear you aren't reporting your rental income, they will then make the next (possibly not true, but maybe logical) conclusion that you may commit mortgage fraud as well as tax fraud and the ethical ones will just refuse to loan to you regardless of whether your W-2 income gives you sufficient DTI for another purchase.I have one tax client who is a mortgage broker who, when he encounters this scenario, tells his customer they must go back and amend their returns before he'll loan to them.  

A bad sponsor can destroy a great deal, but a great sponsor can produce a decent outcome from a deal that encounters unexpected challenges.  

The secret of land lease communities is that owner occupied means far lower expenses and far greater profits.As others have noted, encountering park owned homes is far too common these days.