It is highly unlikely that any other investor will outbid you at a foreclosure auction to acquire the remaining half of the co-owner's half interest in the property -but in the very unlikely event that someone does outbid you, then you'll have recovered the majority of your costs, plus interest and you'll get a new and likely better partner. 

Include a simple statement that all other terms of the original lease remain in effect unless specifically changed in this extension.

College student, Motivated to learn and grow.

3/5/2019Sherelle – thanks for the post / questions and outline Fyi – there are some conventional loan programs that allow a 3% down payment ….I would recommend using this program versus a fha loan program if possible …this is because with a FHA loan the monthly mortgage insurance remains with the loan permanently and with a conventional loan – you should be able to eliminate the mortgage insurance in the future ……Also – if you use a FHA loan for the first home - using a FHA again for next property might be an issue …..you allude to this in your question #2Regarding cash flow analysis ….other items to factor in : utilities / property homeowners insurance ( this will be a little higher when you live in home and should decrease a bit once you convert it to a rental policy / are there any deferred maintenance issues on the house ( roof / furnace / water heater / foundation are the bigger tickets items to watch Definitely get pre approved so you know for certain what you can afford and also so you can begin becoming more familiar with the numbers …we can assist with this if you want - contact us Thanks and I hope this helps Dave Skow 

.+ REO with a motivated bank seller (assuming they will be dropping their minimum each time they put it up for auction?)

Hi I would like to know where can I find legitmate whilesaling contracts that I can use for any state in the country I want to start prinintimg out some contracts so when I do find a motivated seller I already have a contract where I can just plug in the names and other logistics thank you 

Take 50% of the rent and count that as going to expenses(taxes, insurance, maintenance, capex, vacancy) then deduct your debt service(mortgage payment if you finance) from the remaining 50%. 

I have a motivated seller willing to help seal the deal.

My suggestion would be to look for off-market properties as that is where you're going to find more motivated sellers which is really what you need to be looking for as a wholesaler. 

You planned to repair/replace the water heater anyway so maybe go easy on them for that cost but definitely hold them accountable for any repairs.If they refuse to take responsibility, you can try filing a complaint with the real estate commission and see if that motivates them to do the right thing.