Hi @Chip Chronister If you have the right property, that has all the bells and whistles for amenities, and the right location (good schools, lowest crime rates, etc) and offer that to a renter that needs assistance getting a mortgage (DTI and credit issues), that is the strength and value of a lease plus option.If it is a low quality property, no one with money for an option fee wants to live there, and you will have trouble filling the property.

And if they disagree with you its big money fighting city hall as it were...for the general public then the due diligence is hey will this company be there in the long run how do I know they have the wherewithal to cure.. what happens when there are no more 2nds to be bought at these huge discounts. what happens when they have made gazzillions and have retired and there is no company left to warranty... the notes down the line. what happens if I don't like the replacement note how does that work.. so those are just basic questions when your buying something with a warranty be it a car a toaster ( or my favorite Windows) Windows have 10 year guarantee ( window company folded) your windows have leaks nothing you can do.Its just like sellers of property giving rental guarantees they are only as good as the strength of the people giving the guarantee

Figure out which niche appeals to you; your strengths and interests.

Welcome @Eldar ManetshSouthern Ca is a super tough market, but the great things is its huge...LA County, RIverside County, San Bernardino County, Ventura County, Orange Count...etc....My mistake in the beginning was taking in too much, listening to tons and tons of different podcast from learning how to invest in tax sales, to REO investing, buy and hold strategies, rehabbing etc....it became overwhelming, first i wanted to wholesale, then i wanted to flip, then i wanted to buy and hold, ALL as a beginner...And the end result was me roaming the internet day in and day out for countless hours, trying to find anything i coulld get my hands on...But for me personally, i chose wholesaling, because in Ca "CASH IS KING"....so i focused on nothing but wholesaling, because it less risk, less money and i knew my strength was talking to people.

Not sure whether it has the financial strength to pay up all the claims if a major earthquake strikes California.

Play to your strengths (time?

Resources are crucial, if you are knowledgeable about a given area, show your strength in data collection.  

I have to answer your question in a slightly different way, as in the case of Triple Net leases different rules apply.The best financing (CTL financing) is available if you have an Investment Grade Tenant such as Walgreens and a remaining lease term of at least 10 years plus.CTL financing is negotiable at 100% plus, but you need to know the "language" and the rules of the game.There is no school where you can learn the game, and the insiders typically do not share their knowledge.So CTL financing is determined by the creditworthiness of the tenant and the strength of the lease; not by the appraised value of the building.With Non-Investment grade tenants you (only) have access to regular sources of financing, and the normal rules apply.Hope this helps.Louis Bergman

the llc that is borrowing the funds isn't even fully formed yet, but the bank doesn't mind because of the personal guarantees and the strength of the entity that will be leasing the house as a model home/sales center.that said, i'm not sure how you are going to get around a personal guarantee, but it is possible to get a loan in a llc's name and not show up in your credit report.

I would like to connect and see what your strengths are as far as marketing is concerned.