So far we have placed an offer on a short-sale property, and I just sent letters out this morning to some absentee owners that we found by Driving for Dollars this week (a concept that was completely unknown to me a week ago!).

Whether that happened here is unknown.

This will protect you from the unknown ...and a 100 yr old rehab job has a ton of unknowns.

It sounds like a little "fear of the unknown" on the part of the agent.  

I want to do this but there is a whole lot of unknowns.

Be so good they can't ignore you," is another good goal (author unknown).There are people with no tattoos that act nice and will stab you in the back. 

I've personally dealt with such properties, and the professionals I had to hire included structural engineers and hydrologists--and they do NOT come cheap.Sewer issue: a lot of unknown factors here too that could end up costing big money.

I am trying to understand worst case scenario while i am working through this unknown territory?

But that depends if you want to get financing to do this deal..and depends on the type of loans you would be making payments on if you just did a deed transfer.Too many unknowns here...maybe elaborate?

Remember, contracts that are impossible to be performed by the parties are not valid contracts, if a future price comes in that the buyer can't afford, that becomes an unknown as to their ability to perform and you'll be making a refund if they press you.