The lender, or loan servicer will also charge legal fees and “reasonable” processing fees.

However, before saying yes, I wanted to seek advice from the BiggerPockets community.Are there any legal issues you could see arising from this?

However, before saying yes, I wanted to seek advice from the BiggerPockets community.Are there any legal issues you could see arising from this?

The legal and accounting fees alone would eat you up.

The house it set up as a two over two.Tenants currently in place and would like to stay.Property cash flows nicely and the rents are below market value so there is a value add play there as well.Anyway the title report came back and the property is listed as a single family home and also is CO'd this way.However the property was advertised as a legal two family and the town assessor is currently taxing the property as a two family.Two separate meters as well.Everyone involved including my attorney, agent, etc seem to not have the answers for me.There are no rental permits on the property either which are required in this town.Seems to be a lot of mixed information that has me considering to pull out of the deal.Anyone have any experience with this?

Hey John, Legal here. 

Thanks @Ben HowardHere are some quick insights (lists) about the Sacramento County MFR 2-4 market:16,044 properties designated MFR 2-45,056 owners live outside Sacto County4,476 owners live outside of California884 were sold/purchased in last 365 days (~5.5%)2018 YTD: 3432017: 9432016: 8632015: 8124,520 have 100%+ equity796 are underwater12 are in Preforclosure263 marked vacant by USPS143 were purchased at auction by a trustee sale buyer1,445 have had a death of joint tenant in last 365 daysSince 2016, 676 transactions were off-market - and scanning through those buyers a lot appear to be investors as they've done 2+ deals or their LLC name indicates investment orientation.

Most are fine with that, but a few will have problems with it and claim there are legal issues, etc..

And transfer your property into your LLC/SLLC via a legal trust that is a member of the LLC.

Jessie Newton if you have no contract with him I’m guessing you have no legal recourse, and even if you did have a contract you’d probably have to sue to enforce it.