Sorin T,Listen to what Bill Walston said.

Forget Bank of America, M&T etc look for the local banks.

Is this the wise thing and what legal bases should I examine?

I have examined many leases and I have never seen an expressed complete clause whereby the tenant damages the property and the landlord receives compensation immediately.

I can see if you approach them doing a SLO deal and you will be the T/B and on the hook with the seller but with a LOA deal you are in and out of the deal putting a T/B in the seller's house.

@Michael T.

It seems the Realtor and seller would think of you as the "Buyer" as in a SLO deal and responsible for the property since you are still staying in the deal.But if you approach the Realtor as in doing a LO assignment and putting a T/B in the seller's property and then stepping out of the deal, this may seem to the Realtor as if you are acting as a real estate agent w/o a license.

Everyone has a different personal and business situation that, when the facts are examined collectively, dictate a particular ownership structure.For most investors, just owning property in your own name, and carrying good insurance, is the best structure.

Re-examine the deal, the marketing and the pitch, you'll find the reason.

Similar to J Scott's blog post of how to arrive at max offer, you need to calculate 4 different items, then plug them all in to the math.The 65% rule, 70% rule, and so forth all require adjustments based on value of property t be sold, area, market conditions, etc.I think the important factor to remember is that no matter which math you se to arrive at an offer price, you must not over pay.