I am new at investing and am wondering how one goes about discovering if the previous owner has in the past, attempted to subdivide the lot and been turned down by zoning board.

Sorry I am posting so late I just discovered BP so I apologize if this information is mute now.

There may be something that the previous owners only discovered once they became the note's owner.

If they don't have a case, the law student will probably discover this and advise your former tenant not to pursue it.  

I discovered after a large water bill that I had a leaky toilet that was repaired.

@Steve Babiak   post marked 2 Aug 2014.. return address is in the city my property is in but obviously a mail box's etc. type of joint.I can't give up my secrets here on BP, however my direct marketing is pretty darn effective, however been doing it a long time and its not conventional in any manner and I never thought of selling the system

Do you like taunting us with your secret source, Rob?

Sometimes after discussing investors discover large multifamily or commercial isn't what they thought at first and others times they are more intrigued.

Upon discovering it, the tenant and her neighbor turned off the shut-off valves, swept water out the patio door, used a shop vac and many many many towels.  

. :)Good luck in discovering which niche you enjoy most!