Back in the boom, prices were high, appraisals were extremely inflated, and investors that David speaks about leveraged out these properties to a point (I am guessing) where they barely cash flowed, or broke even, gambling heavy on appreciation and principal accumulation.

So far I have gambled and just collected the rest.One question I have is what about someone trying to set up an online bill pay using your check and routing number?

For long term strategy i would suggest finding a trust that manages a sector that you're comfortable with (NNN leasing, health care facilities, large residential complexes, etc.) but if you are just looking to do a little gambling, a mortgage based REIT can provide insane div yields, for a while at least.

& store the rest of the crap in your garage. after 30 days, sell it, dump it, or donate it (assuming 30 days is your state law).take pics of everything after you've cleaned it out. my guess is they just left the stuff behind & their new place has a (better) washer & dryer. if you're really a gambling man, leave the W/D at your place. this will make your rental more attractive to more quality tenants.i think you're fine. these peeps are history.LMAO over the car!!

Do they charge exorbitant rents and gamble that it will offset and future losses?

Calculated gamble.

These however may be a huge gamble.

Okay, I'm stating this flippantly, but if my initial assumptions (about why I'd be here in the first place) are valid, maybe this is a reasonable gamble... after all, when I was 22, people *did* trust me with their homes...

Whole different kinda gambling :)

They look inside the house for first time and see how their "gamble" paid off.Does it get any hokier than that??