@Garrett HayesTry to buy your first rental as a multi-family owner occupant...

Competing with owner-occupants for inputs is a recipe for poor margins.  

Letter arrived from a local real estate brokerage, addressed to "occupant" and "helpfully" advising her of her rights and offering to assist in exercising her Council given rights!  

Just some food for thought, I want to leave it with the idea that its always a buyers market, you have to adjust with the market, you have to have an action plan and adhere to that plan, you can make any market Believe a buyers market as it relates to investing in RE, not purchasing owner occupant, this is another discussion.Happy Investing! 

My understanding is that FHA loans are for owner-occupants only.

Definitely a hard time to be a buyer, both for occupants and investors.I was hopeful that one of the unintended side effects of the oil slump would be percentages coming back down to earth.

To us it's a rental and a source of income (hopefully), to owner/occupants it's their home.  

They may have changed their policies recently and need to get verification from you about the change in occupancy and a directive from you, as owner of the property, as to what name you want on the billing.

Buyer may not assign or transfer any of his rights, including occupancy, in the Installment Land Contract."

With 6% in commission and 2,300 left over in closing costs, it could be a full payoff so, i'd not spend all my energy on the short sale aspect.The only one that stands to gain in this is you, (to make a few bucks for yourself) and having her follow through with HAMP then doing a lease option with you, could put her into trouble with the Feds if she lies about her intent as it relates to the property and occupancy.