There is one possible exception: if the home becomes bank-owned through foreclosure, the bank might consider selling the home as soon as possible to the rent-to-own buyer in order to avoid the hassle of maintaining and marketing the property to a different buyer.

I was quite satisfied on all aspects of these terms.As for the balloon portion.

The declining values and high maintenance are only avoidable by investing elsewhere.I wouldn't consider them as a buy/hold, but a slow flip.

I'm trying to avoid that route for now, and 25k limits me to having to purchase a mobile home near 10k, while I use the other 15k for repairs.

I know that I would definitely have to research HOA's financial standing when looking for a unit to buy in order to avoid those special assessments.

That should be a given for every aspect of investing from flips to rentals.

For me, this would take a new options account at a specialist broker, but I'm calculating out the benefits of this "pure play" hedging index, vs the effort.As to the amount/cost of the hedge, I agree that you're mainly trying to avoid a loss if a market bubble hits or you're stuck with an unpurchased/unrented home for some time.

The way to avoid the law is through the exceptions provided under the law or doing a transaction that is not covered, like commercial financing.

I'm going to err on the side of caution and avoid chasing the rainbow on this one.

Welcome I know your learning now, but am interested in what aspect of REI fought your interest.