I've been told to the best of their investigation, the title is clean.In NY, as I understand it, the state regulates title insurance.

Just because you speed and don't get caught, doesn't mean you're not breaking the law.Same goes for all the posters here that aren't following the IRS rules, yet claim they've been getting away with it.We've dealt with many contractors over the last 25+ years that want to be paid cash, or have their checks made out to "cash", refuse to sign W-9's, etc - all to avoid paying taxes to the government. 

I do have a pretty detailed lease stating housing regulations with roommates, and also had an addendum signed re stating the rules and how I will be enforcing them.But there is more to it, the individual had a friend over, whom barged into the females room while she was sleeping asking for a ride home, and on another occasion I was also told the problematic roommate was drunk walking around the home with JUST a shirt on, with all the goods hanging out.

It's a public forum, choose to follow the advise of posters with great care.Most investors doing rent to own, L/O and contracts have followed old methods for decades, most IMO are behind the times and while they can read things in black and white in federal laws, they don't always understand the intent, even attorneys have trouble in some areas of financial regulations.

"It looks like it is regulated that way for now because of certain SEC rules.  

San Francisco just passed a regulation mandating that Airbnb collect all TOT fees from homeowner's and submitting to the city. 

If you make an honest attempt of learning real estate first, you'll do much better than trying to take guru short cuts that go afoul of laws and regulations then end up dealing on the dark side.Good luck :)  

On the government side, I purchased properties having the powers of condemnation and eminent domain.You'll also find that building reg types, fire marshals and other government officials can apply "selective enforcement" just as a cop doesn't give a speeding ticket to the old guy in the truck following the young blonde in the red sports car ahead of him who does get a ticket.

Learn the regulations.

Department of Housing and Urban Development (HUD), the agency who regulates FHA loans.The HUD investigator discovered the property was transferred to a new buyer, but the buyer’s funds were not used to pay off the FHA loan.