Not sure how you cashflow with Proper, it’s just not proper. 

Hey BPers!
Just curious where each of you stands on this one.  I realize this is a case-by-case basis.  Sometimes the tenants plan on paying a month's rent at two places to allow a less-hectic move.  However, this co...

And how do I roll this into a cheaper mortgage (my dti would be too bad for another conventional).Maybe a lender would be able to consider the electric "working" with the proper inspection?

But, know what you want to accomplish beforehand.Creative Finance is a great way to buy properties when done properly and lawfully. 

The "due on sale" clause (DoSC) obligates the seller to notify the lender if the property is sold.Failing to do so would place the seller in violation of this agreement, giving the lender the right to accelerate the loan.But no laws are being broken here.So, subto is neither legal nor illegal.Second, it only works because most lenders are more interested in receiving payments than in invoking the DoSC clause and foreclosing on the property.But, it can work, provided seller and buyer are both on board and the proper process is followed.

Structurally, the property is in pretty good shape EXCEPT one problem that I cannot properly assess: the plumbing will not hold pressure.

You will need an attorney to properly structure the partnership and you will make sure you do it correctly.

If the tenants don't care for the pool properly, it could cost you thousands to fix.

I think your biggest issue with any "work-arounds" is going to be your legal liability and holding the proper insurance in case something goes wrong, which I'm going to assume you'd need to be properly licensed in order to be properly covered by insurance.

Let me know if you plan to make it so I can let the owner know and he can make sure they are properly prepared.