I did not factor in long-term big-ticket capex.Just because it is a foreclosure, does not mean its a good deal.

With property taxes being a significant factor in Texas, how do you factor them into your sales strategy?

This final determination based on various factors such as condition of property, location, and bedroom/bath count.

I just took a course and was learning about market research, like looking at population per capita in an area and average income, among other things, and comparing those factors in one community where there may be a property you are interested it to another community.

The fact that you’re now considering the next steps with equity is a sign that you're ready to level up, but it's also crucial to be strategic about it.In terms of pulling out $500,000 of equity for new investments, there are a couple of key factors to weigh.

Market Research: What factors did you consider when determining the potential resale value?

My wife and I do have a fairly modest lifestyle.

However, smaller properties tend to have asking prices influenced by factors like local demand or future appreciation potential, not just rental income.If you're finding that the numbers from the cap rate approach are consistently coming up lower than the asking price, it may be because the market value is being driven by different factors, especially in a competitive or appreciating area.I’d recommend using comparable sales as your primary tool while keeping the income approach in the back of your mind to avoid overpaying.

Based on comps, you could sell for $275K to $300K, leaving little profit once you factor in holding and closing costs.The conversion to a 4/2 near a university is promising, but the risk lies in unexpected renovation costs or market shifts.

It needs to be shouted from the rooftops on BP - THE BIGGEST FACTOR IN WEALTH CREATION IS YOUR W2 INCOME!