I've got a bit outstanding already with them, so I needed board approval.  

So far I am planning on finding out from the City what code violations are outstanding and any liens that are on it, then hopefully inspecting it for myself and determine a price point.

Mostly it has been the luck of investing in a market which has experienced outstanding appreciation.  

@Maria King My Cabins are 23 mins out of PF and 37mins out of Gatlinburg and do outstandingly great. 

The standard thing that happens is that whatever is left of that $40k outstanding amount owed goes to pay off that debt, so the house can be delivered free and clear of clouds on title as specified in the purchase contract.If the buyer is an idiot, or the market is so hot that the buyers are forced to behave like they are, then you do sometimes see buyers take over the solar lease or solar loan (PACE loans are common in California) or solar whatever it was. 

If math is correct, it's an outstanding deal!

The title report does not show any outstanding taxes, would there be any other reason for the county to reject recording it? 

How much outstanding taxes does he have?

Thanks, @Russell Brazil.Hi @Ryan Keenan,For your scenario, it'll probably be no reserves for the owner occupied subject property, and 2% of outstanding mortgage balances on the rest. 

I have had some horrible and some outstanding section 8 rentals just like in my retail rentals.