Yes.A second made as equity arising from a sale is only as good as the obligation to purchase the property, it is an extension of credit on an installment sale, regardless of when title is transferred.

Unlike what the "guru's" teach, we use different agents/brokers for every side of the transaction so there won't be any issues that arise about "fiduciary responsibility" in the future if the short selling sellers decide to get lawsuit happy in the future.

What are the implicatiosn other than the place not being sold in the timely manner if such a situation arises.

I really don't understand how this property could have changed so many hands without this problem arising.

There has definitely been a lot of talk about ATL being a "rising" market.

Could you explain what issues could arise from an owner in bankruptcy?  

The Peninsula and South Bay do have opportunities that arise where an FHA loan can be used, but all things considered, there is not that much inventory over here (2-4 units) priced under FHA loan limits.

I also like the idea of holding such properties because I have fewer tenant problems then with smaller multiple units. and if the need arises I can sell one off instead of a whole building.

That results in just under an 8% return annually (unless unexpected expenses arise-which they tend too).My business partner suggests I wait, hold onto the cash from the sale to try and by another tear down in the area to build 3 more houses (which do pay handsomely WHEN they sale!).  

Please correct me if I am wrong.From the end of the article:"For better or worse the safest bet is that we’re somewhere in the middle of a rise in housing prices, and Americans have learned nothing from the boom-bust cycles of the last 10 years.The question isn’t whether real estate is the best investment they can make.