California law requires abandoned tenant property under certain circumstances to be sold at public auction.

In Oregon for instance unless your doing a PUD open space cannot be required and you MUST create lots to specified zoning density.. in other words if your zoned 5k sq ft lots U cant ask for 7500 sq ft lots you must be within 10% of the base zoning.

Now many escrows will require that the seller sign off on the EMD release, which can be frustrating since most contracts say it should be a unilateral function (buyer automatically gets their EMD back if they cancel within the option period), but if a seller chooses to be a jerk and not sign it, the EMD could be frozen in escrow, so don't use your rent money for it. 

You should always require them to add you to their policy as "additional insured" or "additional interest" and you will be notified if they cancel or change their policy.

Financing Your First Flip with Low CashHard Money Loans (HML): Covers most costs but requires 10-20% down, with 10-12% interest.

If you’re referring to the “newbies” with $10k to their name that watch a video by Pace and get excited and pay for joining, go out with their last $5k and do a sub to with a “desperate” homeowner without revealing all the possible consequences (because they are unaware of the consequences through lack of experience and lack of knowledge and or choose not to inform the seller) then I agree, it’s probably going to turn out badly for all concerned.If on the other hand you’re referring to a seasoned investor with excellent credit, significant cash reserves, who wants to add a property to their portfolio without going through loan qualifying, and can pay enough to give the seller “walking away” money because of the low existing interest rates and or, and is dealing with a informed seller, then I find nothing wrong or negative about the transaction.  

The requirement for a notary to oversee the property transaction further safeguards the investment process, providing both parties with legal protection.4.

@Nick Rutkowski no good deed goes unpunished by desperate people:(We try cash-for-keys (CFK) all the time, but tenants always think they're smarter than us.Most are so ignorant, they expect the funds BEFORE they move out.NEVER!

The amount of downpayment requirement insures buyers having "skin in the game". 

Legal and Regulatory HurdlesReal estate transactions involve legal complexities that can overwhelm newcomers.Solution: Learn about legal requirements early on and seek professional advice when needed.