See this thread for links:http://www.biggerpockets.com/forums/52/topics/89437-contacting-previous-landlords-proper-forms

While they make a great product to sell as a canned beginner scheme, they really aren't a beginner strategy while being ethical, compliant and get to a successful closing. :)

However, there might be problem with the roof and major termite issue underneath the bathroom, since the wall in the shower was opened and the tenant just put something like a sheetrock there, it wasn't fixed properly, so water can go down and cause major damage to the subfloor or the foundation, which would greatly increase the rehab cost.The tenants have been living there for over 23 years, they don't want to move, (a couple in the 50s with the dad in his 80s) so they don't let me in to do the inspection.

As Brandon said, it can be done, but it will require a plan and proper execution of the plan.

Insurance is pretty regulated, you can look up any insurance company at your state website to ensure they are properly licensed and formed.

That means he/she has potential and I can groom them on turning that motivated lead into a real deal via proper analysis of repairs and ARV's.Harry - I think you're doing the right thing.

He gave me the proper notice, but dragged his feet moving.

We just want to make sure we have everything aligned properly where neither side has regrets a year from now.

If a property was properly acquired such that purchase+rehab is no more than 70% of exit price, then there is PLENTY of margin to cover the extra 3% to the HM lender.

Freelancing pays a lot more if you're properly motivated and since I know most of my friends work history and know that he is a hard worker who has a IATSE local one union card in NYC, that he will certainly be able to afford the payments.