After hearing Paul Bertrand from the FBI, and reading the fraud report, I stopped doing double close transactions entirely, and now fund all short sales with cash and sell after a seasoning period and proven rehab costs to justify the increase in price.

This is a direct quote from from 5405 from irs.gov"You (and your spouse if married) did not own any othermain home during the 3-year period ending on the date ofpurchase."

That will cause your insurance premiums to be much higher as well.If you were to lock this up at $1.4-$1.5M, you would have an incredibly hard time finding a buyer willing to pay that much + assignment fee.As far as a contingency, you obviously don't need a financing one, but a simple inspection period would suffice to allow you an out.

You can put in a due diligence period in the offer(s), which will allow you to back out of one or more of them without penalty if you get into a situation where you get too many accepted offers.

I think the biggest problem would be coming up with the 20% needed to make these numbers work.Purchase Price:$2,350,000Property type: 72 unit ApartmentYear Built: 1970Rentable Area: 58,211 sq ftLot Size:: 124,823 sq ftCurrent Occupancy: 89.19%Purchase Price: $2,350,000Assignment Fee1: $100,000Cap Rate2: 10.77%Net Operating Income3: $253,078.29Pre-tax Cash-flow4: $102,986.01Earnest Money Deposit5: $21,500Down Payment: $470,000Loan Amount: $1,880,000Amortization Period: 30 yearsInterest Rate: 7%Mortgage: $12,507.69Loan To Value Ratio: 80%Debt Coverage Ratio: 1.5044Unit Mix: 24 1/1.5, 47 2/2, and 1 3/2Scenario A:You'll purchase the property at a 10.77% cap rate (based upon his actual numbers), DCR of 1.6862 (assuming you get financing at 80% LTV with 7% APR); and you should receive an annual pre-tax cash-flow of at least $102,986.Scenario B:You could increase your cap rate to 12.1%, your DCR to 1.8949, and the yield of your annual pre-tax cash-flow by nearly $32K simply by reducing your vacancies and collections (from nearly 11%) to 5% of the gross rents (which is the norm for that area—so it's doable).

What happens if I find a buyer, but the inspection period has lapsed?

Many will do them right away but restrict the loan to be based off of the purchase price + rehab costs rather than the appraised value until either a 6 or 12 month seasoning period.  

So, I need them during due diligence period to cross check the Numbers.I don't like to waste their energy on a property which I am not going to close.

So (440k-305k)/305k=44% ROI over X period of time.

Although there is no regulatory requirement that you consult with your Transaction Reviewer periodically, it is nonetheless a regulatory requirement of the structure, and not an option.Does anyone have any experience with this?