I have no idea if such a law exists in Illinois and whether it applies to a 7 unit.The fact that you didn't deliver the $5,000 to him suggests that --- even if you had an oral contract --- it's too late to enforce it.

A lot of variables involved with you, your market in your area, do you have another job other than just real estate etc etc etc.

I'd prefer to avoid putting the property under contract myself and doing an assignment, since there's already a Wholesaler involved.

And then start applying and taking action.Best of luck!

On a side note, I don't know your exit plan for the property, but if the building is up to 92% rentals I would get involved with the board and find out the plan for the building.

Jordan Cap rates really do not apply to 1-4 family units. 

I'm always curious as to how other's structure deals.I was just involved in a deal where we negotiated a $2.65M house down to $2.15 and it was listed on market.

Being that I plan to use a property manager, how do I keep myself involved in the process adequately without stepping on toes?

Considerations: From contract law perspective, House 1 has a severe misunderstanding or deceit involved (“Rent Ready” is not the fact at all), the purchase agreement shouldn’t be valid from the beginning; House 2 wasn’t properly executed, we should have the right to cancel the whole agreement.

If your husband did not send quarterly estimated tax payments, then there will also be interest and penalties involved.