I’ve worked in insurance for 30 years and I can tell you if you get sued the attorney will just try to squeeze insurance company to limit and be happy with that.

By the last year of our marriage, we had sold our vacation home at a $100,000 loss, lost our primary residence in a short sale, and moved to successively smaller rental homes.

I must admit, I am struggling a little on this one.We already made an offer on the home and the counter was decent, still keeping us below initial asking price.The offer was with indication that we would be doing an independent home inspection, always a smart idea.At first visit to property, there was concern on the diagonal/zig zagging lines in the walls, the few gaping holes where the stairs meet the home – evidence that the staircases had at one point pulled away/separated from the home.This cracking is by no means just settling, my limited knowledge of home construction was telling me, this here was a structural issue.But wait….. there’s more!

@Dorothy Ma If I read the zoning correctly, this particular block can only be duplexes limited to two stories.

@Petit Morne Depending on the city, and if it is in the city limits, they may not allow new mobile homes or they may not allow you to hook into the city water/sewer if the zoning isn't right.

That is very tempting, have you noticed any loss of income from doing it that way?

I have tried with two smaller lenders(National Bank of Arizona and OneAZ Credit Union) and they have both dragged it out for several months before deciding they wouldn't do the loan for what I perceived to be fairly silly reasons(Management didn't like that the tenant had only been in for 1 year, Management didn't like that the structure used to be a residence, management didn't like that 3 years ago I took a loss in a completely unrelated business etc.)I am hoping that someone out there has had some success purchasing or refinancing commercial property like this in AZ and can put me in touch with someone who actually completes deals like this.

@JEFF D. wish I could be more helpful to you, I have bought and sold 2500+ units and never had to do a Phase 2.As you finish out your due diligence period, and assuming you will sell this asset at a future date, a Phase 2 could limit the number of buyers in the future so give this 12 unit deal a real close look to ensure it is a solid deal.Good luck!!

After that we had a few evictions with drama, spent more money fixing damaged things that shouldn't of had to, belongings left behind, break ins, loss of rent etc etc.It definitely stopped me from buying other properties, because this one was a suck of time and money, that I believe was a mistake.

That's why a lot of guys will get their 10 loans(FNMA limit) and then go look for a portfolio loan to pay the 10 off..