I have read somewhere that if they sign off with that knowledge it may not come back to haunt you, but please do advise if you have heard otherwise.

Advise?   

I was even advised to file for eviction with the judge as soon as I give the Notice to Quit, the judge will set the court date accordingly.In scenario 2, I would let them move out, your lease agreement should specify if they move out early, they forfeit the security deposit.

I don't advise 100% leverage.

@Kevin Hunter thank you for the advise. let me see how i can resrtucture the deal as the private lender wants nothing to do with the deal 

Please advise.

It honestly depends on what type of criteria you have for example here in Killeen the multi family market is doing really well as buy and holds but at the same time some of our sf homes stay on market because of the amount of new construction.Every market is different I advise you pick a state and area you are interested in and speak to agents and investors in the area to get feedback.

The advise above is all great ways to get started but the one thing I haven't seen is the obvious one.... right here on BP. 

I advise that you listen to the BiggerPockets podcast- it has great content and there are a good amount of episodes that are focused on wholesaling.

(No I'm not an attorney and this is not legal advise)...