So they would first payoff the first mortgage, if there is a second then $ goes to the second and if anything above that goes to any other lienholders or the homeowner.There are a lot of people who invest in 2nd mortgages because they are cheaper than a first, but in Ohio (not sure all counties) you have to pay off the first at foreclosure so if you do not have the money to pay off the first you are out of luck. 

Real estate is not the stock market and it's called buy & hold and not buy & sell for a reason.I did sell a few properties about 10 years ago when I learned the hard way that going into cheaper neighborhoods was not the right strategy for me, so that was basically a strategy correction and it was necessary, but also costly both in terms of dollars and time.

Any excess proceeds not applied to the investment portion may be taxable as "boot."

Taxable income will jump in 2026 and again in 2027 substantially.I don't follow the 50-100k mistake logic entirely (not to say it isn't the case).

The majority of investments is a game of "race to the bottom" and "who holds the cheaper debt" card. 

I'm thinking that the cheaper Memphis properties would end up empty if something were to happen...

You would have to be significantly cheaper than my current cleaners for me to give you a shot, because I generally have only changed cleaners for either consistent subpar work or increasing/unreasonable prices.

Hello All,I am looking to buy Rental property SFH (new build homes) , in range of 550k-660k 2200-2660 sft.I scotted Roseville, RanchoCordova and Elkgrove.Rancho-> Has many new builts and cheaper compared to other areas, at same time many rentals available . 

Get a HELOC, which is possible but more difficult to find on a rental property, and is much easier and cheaper for an owner occupied property.

I want to minimize my taxable income for the year.