What is the best advice for screening tenants, applications and leases agreements. 

Things in Baltimore can be BRRRR and allow most if not all initial capital to be pulled out, I've seen cap rates at 9% plus there in my limited passing glances

I thought it could be a fishing scam because he asked me to fill out an application upfront.

Limited thinking that you only have  2 options. 

I would like to make him an offer to pay off his mortgage debt and hopefully limit the impact on his credit. 

If they are participating in the profits and not charging interest, they will be more like a limited partner than a lender. 

Dwelling/Fire policies requrie that you request a limit for conents.3.

The proposed transaction is entirely off-limits per the tax code.

Jose,Here is a list of "hidden costs" that may surprise you if you haven't been through this before:Closing costs when you purchase the propertyTitle Insurance Policies for you (and the lender if there is one)Miscellaneous closing fee's (survey, recording, etc)Loan origination feesHolding costs (during the time that you own the property)Builders risk and Liability insurance policy premiumsProperty taxesHOA feesUtility usage chargesBuilding permit costsDumpster / hauling chargesLoan interestClosing costs when you sell the propertyStaging (if applicable)Realtors feeClosing costs (depending on where the property is, this could be a huge cost) Professional fees for accounting, legal and taxesCapital gains tax on your profitI hope this helps you, and good luck!

@Devin Lembcke With limited information about the 4 plex it’s pretty hard to advise on your situation.