The bankers are big boys; they can take care of themselves (alright, maybe they can't, but that isn't your responsibility beyond paying your taxes to bail them out).If you are buying pre-foreclosure, then disclose, disclose, disclose.If people are desperate, you have the option whether you want to take advantage of them or help them out.

I am setting up a meeting with my banker to discuss my options, but I would love to hear experiences from fellow investors here on BP as well.

Bet that banker knew what he was do'n too!     

Second benefit is your financials look better to partners, bankers, sellers etc.  

My concern is that if I get the funds from someone anyway (going around mortgage bankers) but can never refi when the time is right due to this issue.  

I plan to rehab and resell but may hold on to it as a rental depending on what I find out from my banker - my bank is hinting at future rules not allowing me to use my collected rent against income anymore unless I have had that property on my last 2 years tax returns.

I'm thinking my brief past as a mortgage banker will help me understand the financial aspect of wholesaling.

One banker told me they would take my gross rents, multiply by 75%, subtract the mortgage, taxes, and insurance (PITI) and count that as income.  

There are specialty lenders who will do a thorough review and warranty the condo complex, and then issue you a conventional loan.Upen PatelMortgage Banker, VA Loan SpecialistNational Lender, Federal NMLS# 1374243

I joined Coldwell Banker.