Originally posted by @Jay Hinrichs:@January Johnson  Equity stripping would be you buying that house for 19k.. when in fact it sold for 100k at auction that is equity stripping.That's the peace I have yet to understand on how people come to that conclusion, because all versions of the law that I have read, reflect the very basic Wikipedia description of it, being: "equity stripping scheme, an investor buys the property from a homeowner facing foreclosure and agrees to lease the home to the homeowner who may remain in the home as a tenant. 

We'd rather miss out on a couple of guests for more peace of mind.Hope that helps.Mike

You need to be practical and just pay the tenant some money and get them to leave...peacefully.

They seem to be enhancing the product as well.

Risk/reward... timing... if it were me... especially if one person isnt into it, I wouldnt risk my family peace over it. 

However, you don't have to deal with adjustable rates (huge PRO for me- peace of mind), and they aren't bound by Fannie Mae rules, because they are portfolio lending (so you can get as many rentals as you want-100,200,etc). 

It is also a good selling feature if the house is a flip, an added peace of mind.

Don't mind losing some cashflow in exchange peace of mind or whatever.

He said the Justice of the Peace office does not have authority to terminate and executory contract and said it would have to go through the district court.  

Pros:  Peace of mind with the 'wholesale police'.