It's easy to make rash decisions at times when we feel we need to take action, even if it's the wrong action. 

It takes a certain skill and experience to find the deals that work.Often I find new investors looking in the wrong place for deals.

Nothing wrong with a Good financed buyer, and they're likely the majority of your buyers.

Don't get me wrong, all can be done, but put all those costs in a spread sheet and "read" the numbers before you jump on it.

Thanks Karl, So if the second is washed away, in this scenario, there is a huge hit being taken on behalf of the banks, which I guess makes sense if they want to just rid themselves of the property but it still tells me that they know something I don't in terms of the actual value...I feel like I am definitely not the only one who would see this and if there were no bids at the first auction, am I right to assume that there is something terribly wrong with the property that I am looking at?

I may be wrong but i'ts what I am here for.

If let's say after a few months or so, after the transaction has closed, then suddenly, the seller had realized that he/she made a wrong decision in selling that home for that price, even though he/she knew it was below market value, and if they try to collect money or the difference by suing the investor/realtor --they may win the case because, she then told me that, the law will be more favorable to the one that didn't know any better, which in this case, it's the seller. 

So in essence you don't have a deal, you just have an opportunity to get a commission if YOU find a buyer before anyone else (correct me if I'm wrong).

A lot of times if you cross over to the wrong side of the tracks the rents go way down. 

Reverse Wholesaling seems smarter than traditionally Wholesaling - buying a property, then finding an investor.Is there a right way or wrong way to Wholesale?