They perform limited tests and note their findings which usually end with recommending the specialized trade to inspect further or replace.Yes, Texas is WAY DIFFERENT than California.

I would guarantee they would perform by offering to exchange any contract that stops performing with another one that is performing.

I'll bet these REITs will perform, but they can suck them dry in admin, could be another balloon to pop!

I have had multiple deals come to me just knowing what it is I do. 2nd, A real estate agent can help (I am one) The downside is finding one that is willing to put in lots of offers until one sticks (my market typically has me making 50-100 offers before one sticks if it is through the mls) 3rd, Wholesalers are great options, make sure to account for that in the rehab as well. 4th, Buying non-performing notes There are countless ways, persistence will win every time.

Compare it to a mutual fund with a 6% management fee...I don't care how well it performs, that is tough to overcome.

Does anyone know of an investor friendly title company that could perform title searches on homes?

But again, maybe it's a sign the bank would just like to get the heck out of the situation and all cash can make get a non=performing asset off the books.

You want to get a payoff for all that work and if a bank or fund bids 4%, then it's easy to feel all the time spent researching is not worth the return.But with systems and getting good with how to perform the due diligence you can really make nice returns with "no tenants, no toilets, and no termites."

However, we don't have the time to be managing rehabs.We have a close friend who has no interest in finding/analyzing/networking, however, he is really good at performing actual rehab work.

They are underwritten to the same standards as a conventional home, you have leeway to underwrite to secondary guidelines including compensating factors to determine affordability, likelihood of performance, collateral being sufficient for any future loan required.