What are the real tax benefits to the seller when transacting via purchase money mortgage...I can see if the property is not a primary being taxed at capital gains for the sale...but what happens when the seller files taxes at the end of the year...how do they report income from holding a mortgage?...

The main way I keep track of what is happening locally is to set up keyword alerts.

If you are replacing the main service as well, they need to pull a temporary pole as noted by @Aaron McGinnis or use a generator.

I mainly invest locally in Stockbridge, GA area.

Pardon my tax ignorance but are the benefits of doing so really that significant?

For example, someone calls in and you chat with them to find that they may not be interested in selling right then at your price for whatever reason, however over the next several months their motivation may change so a follow-up system should most certainly be in place to touch base with them again and again.On top of that, be sure you are finding 'why' they called in the first place because your main goal should be to solve their problem before all else as this will inevitably lead to closing deals.

Some potential drawbacks to keep in mind are:Additional closing and loan origination costs (two transactions/mortgages instead of one) - speak to your lender and title company about costsTwo insurance policies instead of one - probably close to double the insurance cost as compared to a duplex - get a quote from a good insurance agent and compareTwo sets of property taxes instead of oneThese certainly aren't deal killers, and the benefits noted above may outweigh the disadvantages.

The cost far outweighs the benefits for that amount of money.

This longer life would negate some of the tax benefits that are afforded to owners of residential rental properties (due to the shorter depreciable life on those types of properties), and would most likely cause your rental income to be taxable more often then not, right?

It's not something I would be opposed to, I actually think there is a benefit to both the tenant and the landlord.