@@Abad MarroquinPre-foreclosures or "before the notice of sale deals" have to have equityI want to three months behind on payments, no moreAfter I pay back payments and fees I want at least 20% equity to take over the payments subject to (subject to existing financing)The ideal "subject to seller" is someone wants to protect their credit ratingThe Piti payments compared to market rent I want cash flow of at least a few hundred dollars a monthSo the deal discussed  I would not even consider

Although, maybe the suggestions Shannon gave you will work to protect you from having to pay it in the future if it comes out of the woodwork.

Are there any wholesalers experienced with probable that can provide some insight on if or how I can tie up the property while protecting the money we spend paying the taxes?

Slap my own financing on it for asset protection and to appear strapped.  

He is new to the game as well and I'm sure he will want to protect himself by assessing the deal before he agrees to it.  

I suppose this rule is a good thing as it is a protection against ignorance but from FHA's eye's its a protection to them incase the property becomes a REO.

You will not have any appreciation, nor inflation protection, but you can get good diversification/risk reduction, and decent principal protection.  

Is this the best form to protect landlord for repairs?  

We just did the research on these new HUD guidelines the other day and here's a snippet of the larger article:What HUD’s new Guidance means for housing providers:Arrests records are not a valid reason to deny a rental applicant housing.Convicted criminals may be denied housing if the reason for their convictions clearly demonstrates that the safety of your residents and/or property are at risk.Blanket terms in your screening criteria that say “Any criminal convictions will be denied” are now considered discriminatory and in violation of the Fair Housing Act.The new Guidance does not make criminals a protected class, but rather establishes requirements to clearly prove why you are denying an applicant based on a criminal conviction.Remember that a housing provider violates the Fair Housing Act when the provider’s policy or practice has an unjustified discriminatory effect, even when the provider had no intent to discriminate.source and full article

You can do this by interviewing them to determine their track record and level of expertise.