I am trying to figure out what the best thing to do for a friend is in the situation outlined below:Home Value $570kowed 1st mort $496k (current loan was modified and principal reduction completed for $100k reallocated in form of balloon payment at end of loan term)no 2ndarrears $30kIn process of going through bankruptcy, however, want to complete a lease with option to buy. 

I am waiting on the book On tape, cd or what ever form us “Old guys” use.

My first real estate purchase was a condo and it worked out very well for me.

Granted, I do not know if you have grounds to evict unless you have a lease or some form of documentation showing that the tenant agreed to only occupy one bedroom in one unit but talk to Barbara.

Form tax standpoint it, again, does not make any difference. 

I usually let the tenants handle the security deposit between them and the person leaving signs a release for me stating they are owed nothing. 

My tenants I gave them an out a few weeks back and they insisted they still wanted the property and for me to take  ever how long I wish to get everything in order. 

Besides just being able to tell at a glance where something was, I do a lot of work writing computer programs to do various analyses and computations for me, and the county desginator made it a lot easier to know which property tax rate to apply, or where to look up the property in SDAT, etc.

Needless to say, I messed a lot of things up.Some things I know for next time:-make sure to include security deposits credit and prorated rent credit in the purchase contract-make sure to keep all addendums that may be needed saved on computer for quick access-get all the necessary documentation for rehab funding from the contractor before going into contract on the property (my lender needed his insurance, workers comp, experience, etc. and I was not able to get rehab funded in the loan because the contractor would not send this to me and it was too late for me to find another contractor)-check that title has gotten the documents correct before they are sent over to the seller-take pictures of the house during the walkthrough for insurance purposes-check for flood zone early on -give yourself a realistic timeline for closing-check reviews on title company before choosing oneDoes anyone else have any recommendations? 

The worst case scenario for me would be to just purchase rentals turnkey style.