What are the proper steps to take if you purchase a property subject to and then decide to sell it lease option.

Is this a situation where a "subject-to" scenario could work?

BTW, filing a L/O just may give notice to the lender that there is an installment sale, filing an option does not tie up a property as the gurus claim, I can buy the property from the owner subject to the option and allow you to continue under your intended transaction, if you don't buy, I own the property.   

Be cautious with sandwich lease options Vanessa, Bill Gulley and I have been talking on this subject for a long time.If you are dealing with free and clear houses, taking title via a private 1st mortgage - installment sale and renting or lease option is smarter than a sandwich.Also on the selling on lease option side, watch out for rent credits, in other words do not do them, consider a ROFR, or right of first refusal, as Dodd Frank, SAFE Act, etc. has come into play.Use a RMLO or Reg Mortg Loan Orginator with your buyers as per the ATR (Ability to Repay Rule) will bite you later if the buyer gets an attorney on a seller financed deal.

What you're talking about is buying "subject to".  

I haven't been able to locate much information on this subject online.

(I've never bought one before, so I am new to this)All my friends and family tell me that making an offer (even if subject to) is a bad idea.

I can't recommend any specific books on the subject, but there is a ton of information floating around this site.

As I read different subjects, they say that a realtor can provide MLS information on cash buyers, areas, etc. 

Trouble is, I'm working with only a little info, so you need more info to analyze, and every area is different.What you need to do is list all the properties that sold within the last 60 days, within 10% of the sq ftg of the subject property, and see what the high, low, avg sales prices were, and the high/low/avg per sq ft price was and then the number of days for those groups.Then see if you can spot a trend.JV