Interesting point about closing table payments, Wheatie...Essentially, when you buy the property, you pay the first year's insurance at the closing table (or even ahead of time directly to the insurance company and then provide proof at the closing table) this then starts your term. 1 year later you owe it again, that is where the escrow account comes in.Taxes are due when they are due, however.

A typical contract says you get free and clear title so those liens are the sellers problem.

Typically the opening bid will be the outstanding loan amount plus accrued interest and fees on the loan that is foreclosing.

Typically the seller will pay the commission, so it isn't going to affect you.

First off I am thinking this is a bad deal for you.If he is being foreclosed on, on another home then why would you want him to essentially assume your mortgage, apparently he has a hard time making payments.And the whole bit about him making the repairs sounds good but it is only as good as his word.

A good CPA is pretty essential game.

In the rental property business, we typically make money through positive cash flow.

Hey Ryan,It's been a little slow during Jan, Feb, Mar, but that's kind of typical anyway.

Yet these same banks will sell their mortgage notes and/or assign mortgage notes to third parties which is essentially the same thing.I understand both sides of the equation nevertheless.

Most of these investors typically don't go over 75% LTV, and their rates are going to be higher than you would see from a bank.