Not a slam dunk for landlords unless a serious amount is owed - then almost an automatic win.

Ten years ago, this city was simply *blah*.  

That's a win win for them...and unless you pay them off in full, your purchase gets wiped out.

It's a win for both of us because he gets under-market rent and my equity begins to grow.

We always win :)

It gave me time to focus on simply finding a deal and making it happen. 

If they don't like it, they can simply move out. 

There is a potential deal locally on an auction site but I have no idea what to do with a "special warranty deed" or how to get the owner out of the property if I end up winning the auction.

What are the benefits of doing this vs. contacting investors directly and simply being a wholeseller (other than the fact I only know the one investor!)? 

I never expected to win at the local RAP level.