Then paid directly to any lien holders in amounts necessary to bring current any debts associated with the property.

Don't the lien-holders have to be satisfied in order for the a property to change hands?

@Joshua ChenGenerally, C-corporations are better for raising commercial credit (visa, mastercard, amex, etc).

One consideration that all Individual 401k holders should think about is the idea of plan restatements.

The offended parties are the owners who lost it ( if they had no junior liens or judgments) or any junior ..The First Lien holders that are the ones foreclosing 95% of the time are not entitled to ( at least in the states I work in) to any money above their stated opening bid.Overages at the sales are handled different ways in different states.

BTW, the maker of a loan/note is the borrower, the lender creates or provides the note and is the note holder.  

Here are my questions;How is the income from mortgage payments to the note holder taxed?

@Shepard SolomonGenerally, C-corporations are better for raising commercial credit (visa, mastercard, amex, etc).

A investor (wholesaler/rehab flipper/ buy& holder) called me right away expressing interest.  

Just make sure you put the person you are borrowing from on the deed as 1st lien holder to protect their funds in case something goes south.Joe Gore