Maybe kids thought it was too much trouble, but you reno nicely and make it livable, all of the sudden, probate appears, they gain title and redeem with you....so don't do more than $20,000 in reno or you have no profit.Plan #4...can't really owner finance as you can't really sell it, because what happens if previous owner redeems....now you are in a world of hurt, because you have someone in the house that they thought they bought that now has to leave.   

@Zach Fridrich I agree with Scott, Rich Dad Poor Dad changed the way I see the world.

As they say in the investment world - past performance does not predict a future resultsHow will things look when the market interest rate jumps 75 basis points and expenses continue to rise with inflation?

The problem is a 5plex is the worst of both worlds.

. 🤪 My favorite place in the world is Paris. 

If they do get turned on, I believe seller would be liable for any issues as you do not own the house.As for them signing contract saying they would but not choosing to, your likely only real world remedy is walk away and not buy house.  

If so, the world has become Opposite Day every day.

It's just how the world works.

Either way, rates for loans in the conventional or FHA world are provided in a range. 

I am considering converting my single family home in Richmond VA to a rental, this would be my first step into the real estate world.