I followed up with the REO broker and he said that they were required by FNMA, law(??)

How can I take over the house without due on sale nor violating any laws?  

@Brian Harlow I suggest you speak with a CPA to guide you in tax law and what you may face if selling the Phoenix home and not buying another one.

They know the laws, regulations, probably know the title company, and they know the landscape. 

Depending on the cost of the property and your specific situation it may be advantageous to look into a cost segregation study which will allow you to take advantage of accelerated depreciation and due to the new tax law maybe even bonus depreciation depending on when contracts were signed to purchase the property (after 9/27/17 qualifies for 100% bonus depreciation on assets with life of 20 years or less - the 5 year tangible personal property and the 15 year land improvements in a rental) If you have any questions on how that works feel free to PM me.Hope this helps.

I’ll definitely study the laws for CA regarding renting.

Hello, I have a question specifically pertaining to MIchigan law.

Government would have by now after 100+ years passing law to stop building homes.  

@Chris Asaro You would need to look at the state-specific laws.

If not required by law do any of you do thIs?