Even if I think the property is in excellent shape, I still use a home inspector.

Rents are about $1500 while his monthly payments lay around $2000.He now is tired of the townhome problems and wants to short sale, but I am trying to see if there is another option to save his credit and create a win-win for him.After looking at the comps I'm having difficulty searching for that solution. 

Would the winning bidder at sale have any claim to this check?

Money Down - Brandon TurnerHow to Win Friends and Influence People - Dale CarnegieNever Split the Difference - Chris VossThere are lots of great book suggestions in the forums.

@Chad Urbshott  Hey guys this is what I get daily in Vegas for free.. from the title co.. and then when your there to bid there is a rep from the title company walking around talking to bidders when you have further questions.. all for non charge they just want you to use them if you win /  when you resell.1177-10-818-1001115 ADELMAN DR8912320061009-1300 - DOT POS UNK - $30,800** BID WITH CAUTION **PRIOR UNRELEASED DOT RECORDED 11-03-2004, WILL ATTEMPT INDEMNITY $217,500DOT IN FIRST POSTION RECORDED 10-09-2006 $247,2002138-09-713-0347625 ADVANTAGE CT8912920071102-01702 - 1ST DOT - $258,205** UNABLE TO INSURE **ACTIVE BANKRUPTCY CASE - NO ORDER LIFTING STAY ENTERED3178-16-412-00962 ANCIENT HILLS LN8907420060321-3223 - 1ST DOT - $480,853** BID WITH CAUTION **LIS PENDENS RECORDED 04-05-20194179-20-812-089688 ANNE LN8901520060721-542 - 1ST DOT - $128,000HOA - (ASSESSMENTS) RECORDED 03-12-2019 $1,6405177-16-610-009360 AUTUMN HUE AVE8912320070822-4937 - 1ST DOT - $564,350** UNABLE TO INSURE **PROPERTY SOLD.

This sounds like a perfect slow and steady wins the race deal. 

We have excellent credit, $30,000 in cash and our currant home has about $400,000 in equity.

I have some family that have made a few investments here and there with rental properties that have given some excellent advice, however; I really want to learn more from others that have also had experiences (either good or bad) in the real estate investing world here in the bay area.

But in essence, yes, it's most likely subject to the 1st mortgage so if you were to bid on and win this auction, would be responsible for paying it off. 

., that you're looking for then it would likely be a win-win.Some areas don't tax labor but I agree with you that the receipts lack backup and you should get it from the PM.