The biggest challenge with this approach though is most lenders will require you to have a tenant in the home paying you to rent for a set period of time, I think 3 months before they will qualify you for another mortgage. 

The information they provide on their website is mainly provided to them by free via an MLS feed from the local boards that they have a contract with. 

I guess I wasn't clear if you are the Buyer or Seller of the Lease to own example.Sellers profit by taking a down payment from people who don't traditionally qualify for a home loan.

All in all, if the town is on board with it and your wife is good at marketing (and the numbers work), I would say go for it.

If you are planning to use property management, I would start interviewing companies now so they can come on board and start marketing the property for rent in two months.Good luck!

If they don't have cash in hand to pay the rent at that moment, I would serve a Notice to Pay Rent or Quit and I would serve a Notice to Enter.As others have said, learn the landlord-tenant laws for your jurisdiction and obtain the services of a qualified attorney.

If you did this and either held it for a year (I️ believe that is the standard, but I️ would confirm with the banking institutions you want to go with), you could then refinance, pay off your land contract and pull cash out if appraisal came back higher.Your original thought process is correct in that a bank wants the 20% (I’ve seen closer to 25-30% on commercial loans until you build relationship) to protect themselves from fluctuations in value, but they also want skin in the game.Good luck,Roger

My question is, is it ok to simply get back to them and say there  are better qualified candidates?

- You can qualify for a bigger loan since the income from the property is considered as income to you.

basically the steps would be1. drive to find a potentially qualified house.2. find out who lives there and what their mailing address is.3. put them into your mailing campaign to start sending them lettersim mainly looking to outsource #2 and #3 and curious as to how you guys do it.