However, there are not areas in Muncie where it is perfectly fine to invest in, Unless you know the area where your are purchasing the property, you can easily get burned buying what seems like cheap houses in Muncie.

If they were to burn down or be vacant for a year or longer, the grandfathering would stop and it would revert to previous use.But I believe in some areas in California they're a lot tougher.

There are a bunch of investors and wholesalers in Orlando so get to know them and tread lightly with the bank agents because they have been burned by wholesalers and some have a bad taste in their mouth.Get in good with a couple of them by being honest and having a buyer ready to go.

I have been burned to much with a longer that it's not worth it.

However, the bank is likely going to take a hard look at wether or not they want to burn a steady paycheck and replace it with stagnant debt by accelerating the note.So i think to answer your broader question, yes, keeping the existing owner would lower the probability because the beneficial interest hasn't really changed.

If the option period expires and you were unable to find a end buyer for the property you just burned the relationship with that specific asset manager/reo agent.

They were offering to write us a check for their estimate & deal with it on our own or use their approved contractors, and when all was complete, it ran about $20K more than their estimate (structural beam had burned in one area and needed whole beam replaced among other things they didn't catch at first).

They have alot of cash burning a whole in their pocket.

OTH, gouges, holes, cracked or chiped trim, burned, ripped or cut carpet, if serious, is a damage and that's what the damage deposit is for.

So compared to burning my money every month renting, this seems like a pretty good starter home for a first time buyer.