Hello @Leah Hill, From the figures you shared, you would be able to use these funds more effectively than your current home if you like being a landlord and having investment properties.

@Gina M Coen You are mistaken, the so called "super lien" status here has no bearing.....an hoa foreclosure has absolutely No effect on a first mtg. 

So in effect, only about $50k of your money will be used and $500k of the LOC money. 

I meant like usually in a transaction, the lender will hire an appraiser to appraise the value of the property in order to approve the loans. 

I know there are assignment/referral fees for these kind of transactions.

You have to pay more money, take another test, and I'm sure are held to stricter continuing education requirements, given you can / are now responsible for anyone under you.I can see where if you're doing multiple transactions a year it can be helpful. 

@Kelly G. actually the vast majority of agents and brokers in Milwaukee are "independent" - however many of them don't stand out because they do very view transactions.

Another option is to sell the house for them for 220k that leaves 140k minus lets say 10% for transaction fees (agent, title, etc) that leaves you with 118k before tax.

Feel free to reach out should you have more questions about this type of transaction.

In either case there most likely would be a public record showing the transaction and parties involved.