So increasingly, the answer for WHOLESALERS is "yes" - get your License, which also means always disclosing that status to every Seller and Buyer being dealt with.But if you are buying the Property AND taking Title, no License will be required by you to put that property up for rent, or to subsequently sell it.

In the majority of cases, if the foreclosure is in the first lien position then the subsequent loans secured by the property become unenforceable from a collection standpoint.

To recap,Seller sells property for $550,00, down payment received = $110,000Seller carries note on $440,000 8% 30 years receives monthly payment from Buyer = $3229Seller's owes to Bank = $385,000 at 5% 30 years, pays bank monthly = $2067Seller originally bought property for $350,000Q1. what is capital gains to be reported on the first year of saleQ2. what is the capital gains in subsequent yearsQ3. what is the total ROI on the transaction?

Re other comments above, I too have found that when I start to think of signing a lease as helping someone out my guard goes down and subsequently my troubles rise.

Accept the fact that your first new build won't be as efficient as your subsequent ones. :)

It is simply up to each person's tolerance to risk to decide how much exposure is too much, and therefore the need for subsequent properties to be placed into a new LLC.  

The idea while good in theory that some might "stick" surely means losing support of realtors over time:- In the 1st place it means a lot of extra work they may not need nor want, -In the 2nd place, many if not most of these offers will probably need re-negotiating of price and no doubt subsequent failure of the contract.

Every subsequent deal we have done has been better than the first.

I read that the first mortgage always knock out the subsequent mortgages.

Sell it quickly or 3. payoff the loan.You can not finance a subsequent sale without the consent of the owner who sold to you, they extended credit to you, you can not extend that same credit to another without their consent.