A duplex with 1200 square feet up and down can generate about $650 in rent per unit and I'm under contract at $72,000 (so just a bit short of the 2%).

Just to put some of the pieces together....Short Answer:There is no difference in taxation of an LLC or a Corporation electing to be taxed under Subchapter S.

"they owe the bank $295,000"NO according to YOU she is on title but not the mortgage.If that is true she owes NOTHING to the bank.She just has a partial ownership by title with a property that is underwater in value.Even if it forecloses she can milk some more months as a "tenant at will" before the bank can get her out.Usually they will offer "cash for keys" for her to move.This time of year with court delays for evictions it would most likely take the bank awhile to get her out.She could always try to get the husband to sign an "authorization to release" from giving her the authority to speak about the loan to her.With an underwater house most owners/tenants just care about the mortgage payment.Example house was worth 200k but now worth 130k.Mortgage payment is currently 1,600 but owner/tenant wants payment of 1,100.The bank might readjust the loan payments rather than foreclose and take a big loss.It depends on what type of loan it is and who owns it and workout options.If you bought it for cash at foreclosure then she could stay as a tenant and you have her sign a lease and she rents from you.The details will be based on a state by state basis with time lines and risks involved.She could try to buy the note at a discount or get an investor to try to purchase it on a short sale and rent to her etc.The confusing part of your statement is you said she had 150,000 cash but yet recently filed bankruptcy.Are your sure the husband didn't file bankruptcy and she received the money from the proceedings??

I am finding with all the shorts and foreclosures prices on multi families in Union county area are getting attractive now.look forward to speaking with you!

He may be along to introduce himself shortly.

Once you are dealing with an approved short sale the waiting period goes down drastically.

Long story short, it was previously condemned (extended vacancy led to mice/roach infestation, then taken over by township and remodeled up to code.

This is not REO, I think it's a short sale, unless the appraiser website hasn't updated the owner information yet.I don't think this group provides a real inspection period--I can come by and see the house but I do not get an inspection period like you would with a bank--there is a $2000 non-refundable deposit to hold the place.I'll see if they have the power and water on.

I got an inspection prior to the purchase but I picked an inspector from a short list of inspectors provided by them.

It seems to me Greece did a short sale on it debt, and it's Lenders accepted a Short sale.