I'll definitely try other banks if this Fannie Mae regulation is not one that is a hard and fast rule that all lenders have to go by.  

hey again, Ryan- I cannot really discuss this online, as these are private placements and regulated. 

Look into your state and federal laws that govern this to figure out how you would work this into your specific deal. 

This town was a town that I enjoyed visiting as a kid, but due to the economy and horrible decision making by the local government, the entire place is in shambles.

Another thing not being talked about here is the heavy reserves that are fixing to be placed on big banks.The " Too Big Too Fail" caused the government to do bailouts.

Those legislators opposing SB 15-177 under the guise they want to "protect HOA home owners" have continually refused to support or sponsor Bills that would save home owners money, make current ineffective HOA laws effective, and improve HOA governance.

You cannot prove work comp to a state regulator by just not having it, there is a formal process to self-insured.Lastly, to the original poster@Jim Carson , living in Indianapolis, and knowing a lot about insurance, repeat this mantra when thinking about insurance. 

I did more digging and found out that the unit was marketed as a 1 bedroom but according to local regulations a bedroom must have a window of 10% or more as compared to the size of the room. 

Now, if you take a deed in lieu of foreclosure, you then own the property as you accepted the property as payment, the lien is extinguished and the borrower abandons any claims of excess equities.The reason lenders have sale requirements is to keep a lender from going into the real estate business, there becomes an incentive to foreclose and go into RE sales, you are a regulated lender, not a private investor.  

Regulators will scream if a bank finances a past problem property without a heck of a good reason to do so.Be it a SFD or especially a multi or commercial property, there is a reason the borrower went belly up, that often has issues with trails leading back to the property.