Depending on how much you are trying to borrow, the $10K might be used as DP.

Depending on the cost it may need to be capitalized and depreciated.

Depends a lot on how you plan on doing it.

@John GavinIt depends on income and number of properties.

Secondly, depending on your state laws (and left coast consumer laws won't help you)  the old "hold a QCD to avoid having to foreclose" usually won't stand up in court.....referred to as "circumventing foreclosure laws".I'm sure your market there is competitive, so the worst he'd probably do at foreclosure is the property sells for $600-$700k and he walks with $400-$500k cash.....probably much better than you'll do for him.

It depends on what you're looking to do. 

@Christine AlarconAny thing is possible but it all depends on how much money you want to spend. 

Depends on your local laws, but typically 30 - 60 days.3.

Of course, it all depends on the deal.

You will have to pay separate appraisals and lender fees for each ball park $2400 - $3200 depending on the lender.