My issue is how to return the entire seller financing transaction to a less regulated process between buyer and seller, similar to what's lawful when seller financing to investor buyers.  

That said, any agent who has experience working with short sales foreclosures - transactions which involve working directly with the bank - can probably help you if there is a specific property you want to make an offer on.I'll shoot you a PM.

I live on border and was going to expand my wholesaling into the towns that are on the IL border - Lansing, Lynwood, Steger, and Crete.

But when higher dollar transactions are involved, there are various methods of the value analysis.

While it's true the IRS may look at your typical business transactions as part of the facts and circumstances, intent is evaluated property-by-property.

@Curt Davis   I think what @Jay Hinrichs explained in regards to the high transaction costs and stagnation of prices makes sense.  

Fingers crossed.

I am about to become a Systems person (finger cross), so here is a question, where, other than this forum thread, can I find the information about this blab, schedule, replays, etc?

However, it would be wise to have the addendum for additional transparency regarding your role in the transaction.

Anyway, @Sean Tluchak is an RE attorney and has closed a dozen or so transactions for my clients over the past year, provided advice and other services for them as well, and is a great guy to boot.