Advice on strategy

[Michael Baradell]

Hey BP,

I'm in search of guidance/advice on how to best accomplish my REI goal. I'm looking to purchase/control around 10 properties in the next two years in a specific market. The market that I am looking at is a very strong rental market right now and is showing signs of growth in the next few years ( large corporations coming to town amount other positive factors ). My goal is to take control of a property ( I'm thinking Lease option ) and then put a renter in the property and hold for a couple of years in hopes of appreciation. Now, I understand banking on appreciation is never a good business model, but I will plan to set up the lease options to where I cash flow each month as well. At the end of my LO period, I would then like to:

1. Purchase the property out right at the agreed upon price a few years prior ( hopefully with significant equity due to appreciation).

2. Let the LO expire if it does not make since to continue.

3. Extend lease option if it makes since

4. Sell property ( out right ) to another buyer and make the spread of appreciation over the years.

My questions:

1. Is this a viable plan?

2. What obstacles/issues do you see with any of the 4 exit strategies?

All advice/criticism is welcomed.