If you get audited and caught your entire account holding the property becomes subject to penalties and taxes.  

I have recently been interested in this subject and can attest to the fact that the rules and regs vary widely and are to say the least numerous.  

Then time the contracts accordingly.Your right subject to the sale of your current home won't happen.

Unfortunately its not guaranteed to generate higher and they have to wait for 3-5 months to close and subject to the whims and fancies (and of course financing) of the retail buyers.Free market, people are free to choose whatever means they have.

I'm particularly interested in wholesaling and buying subject to. 

I have been building capital to the point that I think I'm ready to start investing and could use a bit of guidance on how to either take advantage of this hot market or how to effectively invest in neighboring, more reasonable ones.

My thought was that since they are not selling and certain categories and areas are tough even in hot markets this may be an opportunity to exploit.

Most lenders would look at 5+ unit asset as a multi-family deal.Without knowing much about the subject property, I would imagine you are looking at general/ballpark terms of 70% to 80% LTV, 25 year amortization, with a rate between 4% and 5%.

Do we get it subject-to?

Operating expenses include utility, payroll, landscaping, pest control, taxes, insurance, repairs and maintenance to name a fewThese are expenses, different from capital expenditures such as fridges hot water heaters and flooring.