I won two online Baltimore Foreclosure Sale but I bid too high!

[Katrina Nicole-Ivy]

Today I won two separate auctions for two foreclosed properties in Baltimore, Maryland. One for $12,100 and the other for $18,700. They both need work as well. To top it off Im using personal loans to pay for them. I got approved for 12.5k today so the first property is covered but I am still working on getting the second loan which is difficult. Ive done the numbers for both properties and if given the proper cost effective rehab, both will cash flow (and have 15%+ cash on cash ROI) and be great properties to hold. I can admit I was a bit over zealous with the foreclosure auction today. This is actually my first real estate investment and I already realize I made a bit of a mistake being that the funds aren't readily available to even purchase both properties let alone rehab. If anyone would be please share their advice I would certainly appreciate it.

[Kaiser J.]

Unless you are willing to go look at these properties with a professional right away, you should forfeit both deposits and chalk the $4,000 loss up to a lesson learned.  You are taking out debt to buy speculative property based on a few metrics off a website, likely in a D-F class area that you don’t know.  That is not investing, that is gambling.  The suggestion that you should take out more debt, or run up credit card balances, just to close on this is reckless.