Worst case the irs says he should have charged interest and he owes $20-30 in taxes. 

They own the house, they're responsible, they choose the house, the tenant, responsible for taxes and insurance and loan payments. 

To get the tax benefits of a live in flip you would have to live there for two years. 

And you did this without paying any tax.

Just make sure to familiarize yourself with how Texas taxes work. 

For example, I owe $340k on one property, and it's worth roughly $550k or more.

Now you have a brand new property that has no mortgage, rents for $2,000 a month with $300 a month in taxes, insurance ect…profit $1,700 a month.

Im in NJ, but not sure it's the right market for me due to very high taxes and cost of houses. 

Value of house and amount owed on the reverse/payoff is needed to help you.

Heck, you gotta pay taxes on it too, and you also run the risk of the unforeseen and problems along the way with a rehab.Lets see, I paid my fees and got back on MLS last May, and signed up for Privy.