I think this is a very effective strategy if you can grab a property low enough.

While i'm here I plan on being really engaged with the forums and networking with all the great people on this website. fyi, I didn't go through with the 2nd investment property that I started to discussion on but plan on finding the right one by now and the time I return home. ttyl

The Biggert-Waters Flood Insurance Reform Act of 2012 goes into effect Jan, 2014.

@Dominika M I'll preface all of this response with the acknowledgement that I am neither an accountant nor solicitor and with the encouragement that you seek your own council with such individuals before engaging in international business.

Effectively the landlord is subsidizing your living choices.

What was rather ignored was the fact that a deed is effective when it is made, not when it is filed, so technically, that could cause the agreement null and void, as the buyer agreed to buy and at the same time, deeded the interest back, but the deed was basically kept in the drawer, held by an escrow agent and often held by the seller!

Are there any NEW cost efficient and effective means of finding motivated sellers?

That being said, I think there are a few areas where this concept would be effective.

Before closing I would have the seller write a letter to the insurance company telling them to change the name of the insured to the trustee of the trust effective on the day you plan to close. 

Stay engaged, active and looking forward to hearing your successes.