It means I am betting he won't pony up the monies to correct the issues and likely won't agree to pony up to make me whole to walk away, thus, I will likely have to go to court to recoup my funds (EMD and costs I have unnecessarily incurred due to his failure to disclose pertinent information per the contract.As to the other question regarding my expected ROI, this was to be a buy and hold with about $250k in rehab (deferred maintenance and improvements).

Deals are a bit hard to find in Denver right now, so I bet that if there's some profit to be made here that you'll be able to find someone to either take this off your hands or perhaps do a joint venture.  

I bet you can find a small brokerage that will charge you a flat transaction fee plus a small monthly charge that will cover your E&O and mls access.

The thing with renting, no one is a sure fire bet.

As is the property should still be cash flow positive after accessing the funds so my best bet is to spend the time looking for a deal while getting the finances ready.Thank you all for the advice!

For now, i am just betting on house value appreciation.  

@Jason Evans A contact I made when I first moved to this area who is VP of a local bank and also an investor with around 40 rental properties advised me that anything within a 10-mile radius of the Bulls stadium and Tobacco District is a safe bet regardless of what it looks like now.

Is it not just a fundraising platform?  

They also probably offset the cost of the warranty by charging a significant premium for the work they did to get this note re-performing.Their warranty also states that they can replace your note with an equivalent note so if one fails and they don't want or have the money to give you your principal back they can just give you another note and buy themselves more time.Their business is also growing at a fast pace and they are betting the growth will offset any losses(low chance of them losing though after the premium, low volume of performing notes, and ability to replace notes) and the warranty helps grow it faster.This is how their warranty makes sense to me.

@William Hochstedler I am not a Utah broker but I would bet that Utah law addresses the situation.