I've done a lot of deals and we're confident that I will be able to pay him back, but we don't know how he can legally invest this money with me in my flips without losing the tax deferred gains that he has in there.

If I were my own broker, I could write contracts all day and use them without any legal repercussions.

I agree with @Johny SamThe sad part is this common in Wisconsin / IllinoisSearch online there should be a free legal advisor toget your point in the right direction

Additionally, certain legal aspects are different.

My concern is if he moves out and I have no prior knowledge of the apartment prior to him moving in a year ago how can I legally keep any of his deposit if he moves to cover wear and tear?

BUT, to get anything in your favor may be extremely difficult, also depending your state statutes.A lease agreement does not have to be in writing to be effective (with some exceptions), so you offer the premises, the tenant accepts the offer by paying the rent, voila, valid legal contract.Problem here are the terms.

Should I take legal action?

In my experience, replacing a sewer line generally requires a permit, so this was probably a violation of the city/county building permit regulations.That said, it would likely be considered a material defect, and you would legally need to disclose it to a future buyer.

If you don't know what you are doing get legal help.Are you looking through a broker?

Im renting a house that was recently forclosed on..what is the legal time frame the new owners to give me to vacate..also is there a way i can sue the previous owner for not letting me lnow thw house was under foreclosure while i was renting the home.