Additional Info —Key Details:Location: Outside Santa Fe, NMProperty Size: 20 acres (valued at $80,000)Project: Two new STR unitsExisting Experience: Family has two fully-occupied LTRs nearby, generating $2,000/monthConstruction Approach: Self-contracted with licensed trades for electrical/plumbingCost Assumption: $80,000 per unit, plus ~20% for inflation (based on 5–8-year-old build costs)Financing: Using land equity as down payment on construction loan (expecting closing costs to be major expense)Request: Looking for feedback, potential pitfalls, and general guidance

The real estate market has shifted dramatically in recent years rising interest rates, evolving buyer and seller expectations, and fluctuating property values are keeping all of us on our toes. For fix-and-flip pros, ...

@Ashly FrassoRenting by the room can be a profitable but complex model.

The investor who bought this home owns an asset that is cash flow positive from day one and one that will benefit from all 5 profit centers of rental property investing for many years to come.

With DSCR, credit and down payment are the major factors (plus the property itself of course) so it is very possible since a lot of the properties in the area cashflow pretty well. 

Investing in single-family residence fix-and-flip projects in New York involves purchasing distressed or undervalued single-family homes, renovating them, and selling them at a profit.

Most lenders I work with would lend you 70%-75% of the value of the property, but only so much that your NOI/profit is 20%-25% of the monthly loan payment.

I know I am really condensing ALOT of things….but if you guys could help give 3 major pointers in the pre foreclosure and foreclosure part  on this for someone who HAS real estate already (I have a condo in Mexico).

The only major difference is usually prepayment penalties and maybe some obscure, unusual loan terms in certain cases. 

And lastly, market risks and mismanaged funds can also create major headaches, especially for those involved in lending groups.