However, they are likely one of the safer plays with enough education and experience since they are typically purchased at major discounts relative to the outstanding balance or property balance. 

Unused contingency funds, unless they were received directly from the borrower, must be used to reduce the outstanding balance of the renovation mortgage after all of the renovation work has been completed and the certification of completion has been obtained.The loan is not re-amortized.Draw Schedule: HomeStyle program has a maximum 4 draw process.The initial draw can be up to 25% of the total project and can be for materials for the project.The final draw will be at least 10% of the total project as retainage and funds will be released upon receipt and approval of final inspection, Certificate of Completion from Appraiser, signed All Bills Paid Affidavits and Lien Waivers.Additional Draw Information: Signed Draw Request by borrower and contractorSigned All Bills Paid Affidavitreview and approve the draw request and will release funds for disbursementA check will be issued in the name of the borrower and contractor and delivered to borrower via USPSAn inspection of work to date will be performed at 50% completeFinal Draw Information: Signed Draw RequestFinal inspection/Completion Certificate will be required for release of final fundsA Title Update showing property free from lien or encumbranceGeneral Contractor’s Lien Waiver AffidavitAffidavit of Completion will review and approve the draw request and will release a check in the name of the borrower and contractor.Change Orders and Cost Overruns: Changes to the initial plan are not permitted unless prior approval.

By doing this, my loan's outstanding principle value is always accurate.

Outstanding house.

If it doesn’t your mortgage broker can defiantly tell you.Google says...Lenders can call the loan — demanding immediate, full payment of the outstanding mortgage balance.

You can find most if not all of these outstanding materials thru Bigger Pockets.

If you want a few, and don't care about integrity, here are some you can use:1. subject to my partners approval (your partner can be your pet rat)2. subject to a 120 day inspection (my inspector is world class and in high demand)3. subject to a 40 year mortgage at -0-% interest4. subject to test drilling for gold or silver5. subject to a test well for oil (make sure you have mineral rights)6. subject to a new highway coming through the property so I can sell at top dollar through eminent domainHope this helps!

Probably the next easiest would be the NEREIA in Chelmsford, which is right off 495 so a little bit of a hike but a straight shot once you get on the highway.  

They also left with a water bill outstanding an unpaid.

I'd also recommend you work with a title company to make sure there are no outstanding liens on title or other problems you may inherit.