Can someone explain the difference in wraparound mortgage and subject to the mortgage to me and is one a better tool.

I feel like no one ever really digs deep into these questions to explain how it all comes together.

One more piece of advice when dealing with older sellers, ask for a family member (best) or her attorney to be present and explain everything to both.

I also had a phone meeting with the original owner / broker of patch of land and their stated mission was high rates possible and I explained to him that will put you in very high risk projects not to mention if your doing this in NJ and other states that take forever to prosecute a foreclosure your going to get your clock cleaned and I suspect this is what we will see.. just a suspicion on my part .. but it was amazing..

I just found this video last night from a guy who is explaining his method from A to Z including links to documentation at no charge.

, etc, etc.....most mortgage brokers are happy to explain these issues to you, and help you understand why you're being quoted certain terms--and what you could do to get different terms...I've had many long conversations with my mortgage broker about these types of issues, and I always walk away with a better understanding of my own financial picture, how the banks operate, what I need to do financially to qualify for what I need, etc., etc.

I spoke to the occupant today and they explained that the previous owner had them in a rent to buy situation.

Have your CPA explain material participation to you and why he thinks you do not qualify.

Suggest you ask them to explain their case and specify requirements like application via an eMail first.   

What there was was not good but petty stuff easily explained.