I've also been researching transactional funding, Hard Money lending but am worried about usury laws, compliance with state/federal regulations, dealing with brokers, title companies, attorneys, CPA's and the due diligence on the property to fund.

Good deals are hard to find on the MLS and the few that exist are purchased rather quickly from the REI pro's that constantly monitor the MLS.

Clean and well maintained but nothing more.With my apartments I explain maintenance versus upgrades to the tenants.There will be no upgrades only repairs to existing appliances,mechanicals,etc.The tenants have to accept it or move elsewhere.I looked at hiring exterminator,contractors,etc.

However, if the payee chooses to not honor the "sale" and keeps the $$$, the payor will have to sue the payee for breach of contract: prove a contract existed and everything else associated with a contract case; and, then if judgment is awarded, working to collect the judgment, etc....

In California title fees are heavily regulation.

You make the payments to her, she pays the existing mortgage and pockets the difference.

We are in a period of over-regulation where demand can't be priced in to valuation models.Watch what happens as Obama nears re-election...corporations are not investing because they are not getting the incentives to invest (that they want or feel they can get) so they are holding out.

You are full fledged in Regulation D territory.It is actually not uncommon for good capital raising firms to actually get a piece of your deal.

...I would imagine that many BP landlords are getting Section 8 rent, where the voucher amount and the allowances for utilties by the housing authority end up setting the rent received by the landlord.For your existing tenants, you could probably get away with the bigger increases - if their income was keeping up and other rental units in the area also went up similarly.

As to Section 8, yes, it's against HUD regulations to use or allow any portion of Section 8 payments to count toward the purchase price of a property.