I don't know whether to burn it down and start over, or if I'm headed in the right direction. 

When rubber meets the road, these low-cost/low-rent properties only make sense if you're turning and burning them, or are adding them to an existing portfolio where you have sufficient reserves already.I've got a property I am looking at that rents @ ~1750 for 2 units, so taking 10% for CAPEX -- which is an estimate on my part, good, bad, or indifferent -- sets aside $2,100 per year just for CAPEX.

This is the "burned out landlord" approach where you can pick up several properties at a time... or perhaps their whole portfolio at a discount, and they are likely to understand what you are looking to do so there is less to educate the sellers on.Hope this helps... good luck!

BURNED BY TRADA, CALL A LAWYERI recommend contacting Richard Dwyer, Attorney at 1-800-372-9983.

Many places in our country are now requiring asphalt shingles with some silly notion that asphalt doesn't burn.

Call these people at the SEC, they definitely want to talk to you. All communications will be confidential:

Tom Melton, Sr. Trial Counsel, Salt Lake City SEC:
801 524 6748

Karen Martinez, Trial Counsel, Salt Lake Ci...

Where did we burn you?

I've evolved from a buy and hold with the occassional flip, to a guy who just flips and seller finances that flip.I've stayed in touch with my market in the TX Hill Country until our move and I only did 2 deals there in the last 2 years, one thin, one fat!

And it's not like I have a burning desire to be a lawyer....

Finally, the tenant may do the maintenance wrong and cause a fire burning your house down (which may or may not be covered by the insurance).