All kinds of rehabbers are complaining of tightening profit margins in the past several months as the RE market warms up. 2 years ago, profit margins were FAT and markets were cold.I'll take a cold market over a hot one for flipping any day of the week.

I still say, just live with the exception(s) if the deal is fat enough.

That will allow you to scale up to high quality professional management and live like a fat cat.

I think this is a bigger "every market is different" thing than pretty much anything else.I honestly believe that every market will have big fat deals if you look long and hard enough.With new construction there is going to be a rule of thumb for the costs (around me it is $100-150/sqft) so you have a rough idea of what it will cost to build and you should have a feeling for what houses will sell for of that size and whatever room makeup you decide on.

I agree with your comment Gene Hacker, so many people waiting on the sidelines for so long, in many markets was like a 'bum rush'.

Gene Hacker We actually are in a similar situation to you.

Originally posted by Gene Hacker:Its good to know I am not alone.

Ah, Good to know Gene Hacker!

Like Gene said above you will need to be well positioned for a refi.

:)I say this completely out of sarcasm but I think that the gun manufacturers sent a nice fat check to the politicians and media to start spilling out all this crap about the need for gun control and removal of assault rifles from our society.