What if it's a property with an ADU or in-law suite that could be sourced as an LTR or STR?

If you don't understand the things you can say in advertising vacancies, how to screen tenants, the required disclosures and all the other legalities associated with being a property manager, you can inadvertently cause some serious and potentially very expensive lawsuits.

You use the term "pre-foreclosure" which most often means the lawsuit on behalf of the lender to take the property has been filed but the court has not yet declared that the lender has a right to the property. 

Google property Management companies in the cities you are considering purchasing in, do a thorough vetting on any you are considering, reviews, referances, BBB, courts/lawsuits, you can manage through Property management companies, I am old school but I have a friend who bought small investment properties in a distant place in upper NY and she never saw one property and does make money from these investments, she works through hr realtor, I saved her 10k after she was told that one property needed a new sewer line, I diagnosed it with her on the phone and she saved 10k, that is the downside of using these pm companies/anyone to work with properties out of town/remote ownership, I can do this as I have a full working knowledge of all systems in a house, I have been in this business for 25 years

The problem of case by case is that the rule would not be applied to all and could be opening doors for a lawsuit. 

But just curious about verbiage and disclosures you all include in your purchase and sale agreements to help avoid lawsuits/legal action. 

If you fail to follow the rules, you may open your personal assets to a lawsuit.

My understanding is that you give up your right to bring a lawsuit in Texas. 

Demand letter —> lawsuit Perhaps the above maybe the best remedy.

However, I am opening myself up to risk for lawsuits, etc.