Townhome usually means same as condo only you own the land underneath and air space above.They may not be able to sell the condo because FHA allows for people to purchase with minimum money down and if it's not FHA approved they lose a large pool of prospective buyers.

However, if a bona fide offer is received from a third-party prospective buyer, then OWNER shall again notify HOLDER in writing and offer the Property to HOLDER at the price and upon the same or better terms as named by the prospective buyer.

Run your own credit/background checks on the existing tenants as well as prospective tenants - refer to the BP tenant screening guide I referred you to in a previous post.

There aren't many people alive who remember what happened in the Depression but one of the things that made it so depressing is that the economy was caught in a cycle of deflation where prospects were uncertain so people stopped spending which reduced sales which caused people to be laid off which lead to more uncertainty and less spending; rinse and repeat with prices falling each round.

I assume that these liens will become the responsibility of a prospective high bidder due to their government/tax nature?

We felt that that tenant deters other people from renting the other units.

Understanding that mentality from the get go, will give you a great prospective on how to approach these short sale deals.

In fact, I don't remember the subject of TK investments ever even coming up in the hundreds of conversations I've had with new prospects.

The numbers look ok, but what are the long term prospects for appreciation, both in rent and price ?

@Angela Turnbull the vast majority of Bigger Pockets members are from the USA, but don't let that deter you from the website.