Namely, Child Support, Credit Cards, Income Tax - are we saying that the auction buyer is now responsible to pay the owner's such personal liens?

Do we run the application and then send notice that the husband doesn't meet our criteria or do we add him to the lease but raise the rent considerably and hope they move out on their own?

If you have the opportunity to raise rents, and be making $150ish/mo in cash flow, plus have an asset that might appreciate, you might have a pretty good deal.

Thank you for your reply, you've raised a really good point.

So far, we've done a conventional mortgage to purchase and then financed the rehab with mostly personal money and credit cards. 

The question is can I raise the rent if it is warranted? 

I live in the Bay Area and born and raised in SF.

Have some capital but really need advice on how to raise more.I have a good network of contractors that I trust.

Today they let me know that their financing isn't going well and they need at least 7 more days and may be staying much longer if their financing for the new house falls apart.The problems with this is that this is a tenant I inherited and haven't raised the rent up to market levels (but I did raise it on them).  

Rents are really raising quickly and distressed multi family is very hard to find.