I am guessing you mean what happens if the sales price of your house is not enough to cover taxes owed.

.: Hi BP Community,I’m an active investor here in Jacksonville, focused on creative financing strategies (Subject-To acquisitions) and value-add conversions My latest deal is a Subject-To property we’re renovating into a 7–8 room PadSplit.

Does your mentorship cover the following?

not sure if that's what they're called in TN).A land contract, subject to and wraparound mortgage are 3 different things.Both the land contract and subject to are purchase agreements.

Hard Money is fine, but it has its red tape, and Hard Money has its own investors they need to keep happy and you are subject to guidelines, rates, processes changing on the fly and working against you.  

Buying an "Off Market" property with "Subject To" and "Wraps" & Selling "Lease / Option"When buying a property to cash flow, you need to know what your expenses are.

That’s why so many investors here either focus on small multifamily (duplex/4-plex) with value-add potential, or Invest out-of-state in markets with better rent-to-price ratios.If you’re trying to make it work locally, here’s what most people are missing:Strict underwriting first: If rent doesn’t cover mortgage + taxes + insurance + PM + reserves, walk.Off-market sourcing: MLS alone won’t cut it - look at absentee owners, probate lists, direct mail, and investor-friendly wholesalers.Creative financing: Seller carry, subject-to, or using HELOC/cash-out from another property can make borderline deals work.If your goal is real cash flow, the fastest path might actually be to redeploy NJ equity into turnkey homes in the Midwest or Southeast markets like Akron/Canton, OH, Columbus, GA, Birmingham, AL, parts of TX - where numbers make sense, there are strong seller concessions and property management is simple for out-of-state owners.Always happy to chat more about what's worked for other investors.

Below are my thoughts:Innago covers most of what we need aside from accounting. 

Unless you are doing a "subject to" contract which can be tricky if the home needs $100K in renovations. 

Very conservative approach that protects the seller.There is a long thread that covers what I'm talking about atPace Morby Mentorshiphttps://www.biggerpockets.com/forums/79/topics/1001612-pace-...