Thanks for all the replies.
How do we go about deals if we know the home wont get cash flow and consider I only want to do long term rentals? Is same approach as for stocks apply - wait till it comes to our price point ?
Let me give a hypothetical example that I can use to learn more.Consider SFH are is in the market for 40+ days as of today.
Consider I know the following.
1. Seller already has moved into another home. He is paying two mortgages now
2. Seller is very desperate that he has listed the home for both rental and for sale. He just needs the home off market.
3. The home price has already been reduced twice and now it is 12% from initial listing price.
4. Consider cash flow models calc considering income from comp rental in the area and factoring in mortgage and other expenses show, to make cash flow I need to bid the home 35% from the current list price.
What is good/common approach? Should I just bid and see what happens as bidding is kind of free and dont care if the seller does not respond? offer high % cash up front on that bid? Some insights will be apprechaited.
