We have contemplated trying to refinance the property but we realize we may not get terms that are as favorable as we have right now and that would hurt our current cash flow.  

You need to realize that if you are the only bidder you can bid $1 over and win bid. 

Another example: you wish to take a heloc out on your properties and realize your property is only appraised at 5-10k less than what you bought it for... again, you are now spending years, waiting for that nice cash flow to make up the difference. 

Oh, didn't realize this was an older post, lol!

Just realized there is a lot of fraud out there and both parties need to be careful.Joe Gore

Here are the specs:3bd/2ba 1792 sq ft.2013 Tax value - $116,3002012 Tax value - $132,000 (we had a big devaluation in TV county-wide between 2012-2013 that has not really affected market values)She says she owes around $95,000, and I'm guessing ARV is around $125,000-$130,000I realize there's not much equity, but currently looking for buy-and-hold properties.

However, similar to seller 1, wants to partner with someone to realize the benefits of rehabbing and flipping.I'm perfectly fine working with both sellers so we can both enjoy the benefits of a flip but that's generally not discussed here.  

I also realize that I'm probably losing out on some good prospects by making them jump through so many hoops, but this has made my life way easier.I'm curious if anyone has done something similar or has any tips to improve this?

Realize the full paid balance might be slightly different.

You should ask for proof the claim has been filed and a copy of the receipt for the original money order.I realize there are risks, but I have tenants deposit the money directly.