As a results, I notified the loan office who handled my loan, that I am backing off the HUD deal for the reason previously mentioned and that I'm in pursue of an alternative property.

I would then stress that $5K is better than the alternative, which is nothing, and that the home owner is trying to satisfy the debt to the best of his financial ability without resorting to the obvious option to eliminate his debt after foreclosure.

Here is the newest alternative fuel vehicle from the new GM, Government Motors.

ahahahahahaha wow this is why i'm not ready to be a landlord... i would totally flip out on the guy if he told me he just decided to drill a hole in property he RENTS It sure beats the alternative: to have your property flooded :lol:

Since you only have $21K in the property, and have a $5K down payment, you would have a $12K profit.If you wait a year, you could probably sell the note with less of a discount, assuming the people pay.Of course, if it works, you would be better off to just collect the payments.Another alternative is to refinance before you sell it, and do a wrap.

Once the 45th day has passed, you cannot change your identification and using the funds to acquire an alternative property will result in a tax liability.

Finding people who need an alternative to CDs, Bonds, Stock market crap and really want to buy is another thing.In a down market the man who gets you out of your "equity" and into a cash position for the price you think is reasonable is the person I'd do 50/50 with all day long....come to think about it, thats how I landed a 40K 6 plex last month.

Hard money and buy and hold don't mix well together.Only buy and hold if you can replace your hard money loan with a cheaper alternative.

Alternatively, a property like this may be a long term play.

Would that be a better alternative without risks?