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I also wanted to add that your idea of living in your rehabs while you do the work is a good approach. As an owner occupant you are first in line for HUD repos, and there is a special home improvement loan that you can get for purchase/rehab as a homeowner. Is it a 201K or something like? You would probably need 20% down though, but I'm not sure. Catherine should know this one...

Fool on!!
Matt
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