I always put down large deposits on REOs, and while I still have the 7-day inspection period clause (I don't yet trust my judgement without an inspection), I think the large deposit has helped me get properties that I otherwise wouldn't have.

I just had a freakish weekend showing a house--the first applicant was a very attractive woman who worked for a cosmetic Surgery clinic -- she had obviously taken advantage of the employee discount--she had a very nice look and way about her- & her children were nice too--she was evasive about her credit -she said it wasn't "too good"----upon getting the screening back,the records showed she had undisclosed bankruptcy, recent eviction--she said that was her sister's eviction-- it was" just in her name", the LL name she gave me was not the property owner listed on the county records--"she said that was because of a divorce and he was hiding from his wife", the child support financial records to support her income I asked her to provide "couldn't be faxed because something was wrong with the fax machine at the clinic", and she had 30 recent collections as well as 4 new court judgements-- these were" just loans and things, so how does that affect me renting your house?"

While I have done a couple with Sellers I have only one reason I can think of a Seller would want to do one.Well maybe two:*Possibly not recieve a deficency judgement*Looks somewhat better on credit report.

What percentage of lawsuits in the rental business would have judgements over $500K?

The lenders can slap you with a deficiency judgement for whatever they aren’t able to collect from a foreclosure auction.

Also, if the homeowner does not want to buy the home for 108K, will they have a discrepancy judgement for the difference?

So wait - they are attaching liens to people without notification or even a judgement and haven't even attempted to collect on it and the court rep states his is near certain Joe doesn't even know about it?

*Divorce, Judgements, Liens or even trouble with tenants?

Found out later from another attorney that the QI had outstanding judgements against him and that limited the type of 1031 deed transfer than could be done from the QI.Now, I use a real estate friend for the QI and there are several small but stable banks that do QI work for free for their customers.

If they like their chances they may choose to file a civil suit to pursue a judgement against you.