In other words, they can't "launder" their title by washing it through a foreclosure and then redeeming and paying only the auction price.If the bank still owned the property, and there was a balance due on the note for after the foreclosure, the redeeming party would redeem from the bank and have to pay the full balance on the note, not just the auction bid price. 

Management of vacancy and maintenance are the two largest costs of 3rd party management. 

Second, a "gift letter" stating that both parties acknowledge the full amount in question is, in fact, a gift that need not be repaid for any reason will tend to help mitigate some pestering from underwriting.Best of luck!

Consensus builder; highly adept at constructing transactions that benefit all parties.

You can also ask the seller of your target replacement property to accept the note as part of the consideration/payment for your replacement property, but most sellers will not touch a third-party note. 

The current lease is month by month for either party (30 days notice).  

I have used portable stand alone units (per room or level basis) and I think you can get whole house units as part of HVAC systems 

Regulation and compliance varies by state, local jurisdiction, transaction, parties, terms and a couple others.  

This data, or lack thereof, will tell you a lot about both parties. 

I'm not feeling a whole lot of motivation from the parties I am contacting to take me seriously.