Therefore, most underwriters take the loss to lease percentage of the gross potential rents number and apply that percentage to the pro forma projections or assume they can operate the property better by leasing units strategically by having leases expire in hotter (temperature and demand) months, thus applying a lower percentage of GPR loss to lease (typically 2% to 4%).

Second, our local knowledge helps us make disciplined decisions, getting strategic benefits from our investors’ private funding.We’ve grown very familiar with Denver over the last six years.

Here's where it gets odd.Jack wants me to be the sole borrower on the property, on our joint project.Jack wants me to not tell the bank about my source of rehab funds because it'll "complicate things with the bank"The bank has capped my borrowing limit at $250,000, which is above the necessary $295,000 to do the deal.As a workaround, Jack will be the sole provider of rehab funds (personal funds, cash)Jack wants me to give him one of my personal checks so he can write future offers.Is this a strategic way to expedite the rehab-lending process?

@Mike Dymski I'll vote for taking (strategic) action, Invest $100. 

This is not to say I have not bought vacant as I have on several occasions but it has to be a strategic purpose (ie I have a contractor on area who will buy it from me and we have a ballpark price already determined).

I've been interested in REI for several years but haven't had the opportunity and knowledge to get in strategically.

This is all a learning process, and while I am anxious, I want to be strategic about this.

The focus is really on building a robust LLC for the intended purposes, such as holding real property in Texas.That said, we are not tremendous fans of the series LLC. 

It's very important to think strategically when attempting a 1031 in a sellers market - for the same reasons you're feeling nervous. 

But I bought at a very strategic time in Atlanta.