I'd try to get them to pay for the inspection base on the fact they couldn't find documentation to back up the disclosure. 

this is great news, congratulations on your good deal.

http://www.bloomberg.com/news/articles/2015-07-23/... 4 biggies from Texas.

I Downloaded some good Documents and simple contracts from http://smartlazyinvestor.com/how-to-wholesale-properties/real-estate-wholesaling-contracts/ I thought they were easy to use although I did find the Purchase seller contract need it to have a Assign/assigne clause added to it other than that it was simple and useful. 

I recently found out that there is a lien on the property and clause in the homeowner's mortgage documents that both state that HFH will only approve the sale of the property to a low income buyer that will use the property as their principle residence.Did you run into anything like this when you bought your HFH property?

(We did this to keep our debt ratios down, intent was he would get a loan on another property down the road, but he got sick and stopped expanding our partnership) He and his wife had to sign an agreement to encumber the property, but they are not on the mortgage document or on the mortgage in any way.

Another issue with spilling the beans with your underwriting, it just tells scammers the type of documentation they may contrive to get past your due diligence, why make it public?

This is essential.You should ensure that you fully document the reason for your decision to have your IRA write off part of the loan and accept a lesser amount as payment in full.Typically, your custodian will accept your instructions to "sell" the note (accept a reduced payment in full and take the loan off the books).

Once you get the buyer in place then you should send the documents to the title company to start the title work and schedule closing.  

She even sent her friends pretending to be potential tenants to document if the issues have been fixed.