The only issue is that they were not very motivated at all just interested in hearing my offer.

Agreed, and all that I have been associated with the value was alway higher the the mortgage owing, but did have one with other liens, taxes and judgments, which were cramed as to the lien but remained due from the owner, an unusaul situation.Cram downs were rather common in bankruptcy years ago, where a lender may have to accept less, but ED is not a bankruptcy.

Small apartment complexes may benefit some, but I guess it remains to be seen how things play out with the rules.

Tell him when you will be totally out of the property and ask to make a deal regarding your deposit and remaining rent.

That obviously changes the motivation of the mentor without disclosure to the student.

But DON'T accept ANY money from the buyer, all funds have to go through the QI in order to remain as a tax-exempt exchange.

If you bring your friend in as a capital partner, earning interest, regardless of how the property or deal performs, I think you have the best chance of remaining friends.

She would be the logical choice, as it's in her best interest to write an offer acceptable to the sellers, and would be more motivated to push your offer.

I think at best we may see small gains in some markets, but many will remain flat or continue to decline.

What I want to know is when you find a motivated seller and buyer, what to do next?