But even then, seller financing is rarely substantially better than another investment they could make (including trust deed lending, which will often be at a higher rate than seller financing)In my experience, the owners who find owner financing advantageous are at the ends of their careers and are not interested in looking for another investment (other than the usual retirement funding sorts.)

If not and you wrote them the check, then most likely the $ is gone and suing for that money will cost you more than $1000 unfortunately.So cancel the agreement and request the funds

Meaning that if you fund a $5K EMD and then decide not to close you lose the EMD, or you pay for an inspection up front and risk missing out on the deal while you're waiting for the report.

This is rarely done as in most situations lenders will not consent, and at a minimum want the buyer to qualify AND personally guarantee.  

Personal Touch and Community ConnectionInvesting in smaller markets often allows for a closer connection to the community.

I recently read a book that mentioned there being a lot of power and benefits of a personal corporation but I'm curious as to when a corporation is actually beneficial over the latter. 

Alot of unknowns as you don't have the ability to walk the property beforehand, but interesting process, and pretty good deals exist there.While the Trustee Sales are cash purchases, there are many hard money options that can turn over the funds in time for the 24 hour funding required to complete the purchase.If you are interested, let me know and I can go into more detail, as well as make some other suggestions for you to consider. 

Call 3 references:  Verify that they work there, or that it is an actual person by asking where they work first, and don't mention who you are until after.  

Hi Ven, I personally consider properties that at least cash flow with full occupancy. 

@Collin Hays I really appreciate your insight based on your personal experience in the Smokies.