While @Jon Holdman's idea might be a solution the HOA might just increase their rules to outlaw it as well.  

If at the completion of the transaction the underlying mortgage and any other liens are satisfied then the buyer should be able to acquire marketable title.Purposely clouding a title can get you into big trouble and is unlikely to be the best solution for a wholesale transaction. 

The best solution I could think of is to re-finance the 1st property as a conventional loan and then purchase the 3rd property as a owner-occupied FHA, in which case the $14k on my LOE is more than enough.

So Intuit Payment Network is the best solution out there in my opinion.

I am a native of San Jose, California who enjoys modern architecture and collector cars.I hope to learn from BP members and hopefully help others where I can.

Try:Mike Jasko, Ohio Insurance Solutions 937-688-1706Tim Norris, National Real Estate Insurance Group 888-741-8454Good luck!

There are solutions that could work for you, but I'd hesitate to recommend any of them without knowing a whole lot more.Most CPAs will want to do a full on tax projection for both you and your spouse to understand exactly where you are before making recommendations.  

Of course the solution needs to make sense for you per your investment criteria, but we always try to keep the borrower in their home whenever possible, and resort to foreclosure only when all other efforts have been exhausted.

I use Getresponse because I find they provide the best solution for me.

The BP community blew me away the way everyone comes together to answer questions, give advice, solutions....everything!!!