Almost all mortgage loans these days have Due on Sale clauses, so it comes down to A) whether they find out (usually from changes in the insurance policy), and B) whether they choose to call the loan.

Most of the homes we built on these lots sold at a profit, but a couple did not, again, because of the reasons above. 

How are deals like this usually structured? 

For several reasons (property taxes, politics), I would prefer to begin real estate investing somewhere other than locally. 

I have a couple of CFO clients in KC that might be interested (or know people that might be interested).

I wouldn't bother investing outside of the big city centers, nor buying anything younger than 30 years old. 

These marketers would have the novice investor believe that the narrow focused “education” they provide combined with the “holy grail” formula (wholesaling, subject to, flipping, lease option, discounted note purchase, etc.) is most, if not all, anyone needs to become “independent” and successful, usually by month 12.

And start from a position of strength rather than getting into a property right before you go back to finish up school and have no income for a year.

Quote from @Rou Odab: Some of these things would come up on a home inspection, but since we are past that I would do a couple of things.

Because when I ran the numbers myself it was a loss of closer to $14K, not $22K, so I want to make sure I am doing it correctly and conservatively.