There's no sense in looking in a good neighborhood where the ROI isn't there, and neighborhood quality is a supremely personal point of view.For example, an investor from the wine country in Napa and an investor from the worst parts of Oakland will have a totally different opinion on the exact same neighborhood.

In case anyone is actually reading this, I want to thank @Nicolas Nuvan ,  @Juan Barreneche , @Abel Curiel , and the Goldbar Team who just helped me land my first deal!

Nicolas,Good luck to you and your wife! 

The problem I have is I'm starting to feel he has different intentions he asked me to dinner and wine then said he fell in love with me the moment he saw me he is a nice guy I hate it's going in a different direction but we haven't even done a deal yet!

@George Wines so as a general rule of thumb a non-sophisticated owner cannot hire a contractor and fix a property up and make more money then simply selling it as is.

Originally posted by @Nicolas Paez:Several reasons:1. the bank does not want to reward the borrower by allowing him to get the property at a discount. ie the the bank bids 50k and the borrower bids 55k, then the borrower gets the property for less than the original balance owed.2. most loans have been sold so that they (the lender) have a contractual servicing agreement to bid the balance.3. many loans have pmi so that the lender gets paid in full. if they bid less, then pmi pays less.4. the many states have laws that require the lender to bid market, since market is hard to define in a foreclosure, they bid the balance to stay safe.5. left hand right hand. the legal team does not always get the asset management team on board until after the sale.6. many states have right to redeem the property, a lower bid means that they can redeem for less.7.you never know if someone will step up and pay.8. accounting rules for banks and potential losses are complicated but in general, a lower bid is usually not good for the bank where as a REO can be "fudged".9. accountability, banks are owned by shareholders, selling below market would be a breach of fiduciary duty to the shareholders.

@Ben Leybovich @Nicolas Paez Thanks very much , I'm getting it.

Nicolas covered the expense above.The sales broker (and mortgage broker, if one is involved) and you will likely have to provide (and create) some level of historic P&L for your lender.Can request tax returns, but they can make excuses for that as well.For larger properties with professional management, a T12 should be a given.

We get both.Also, its the entrance to skyline drive, the convergence of two rivers, nestled into Virginia Wine country, and historic battlefields.  

I have met with the owners of premier when they were premier and seen there set up live.. its a HUGE money business.... and all about up sell.the TV personalities are no different than say other celebs that lend their names to products.especially in the wine business.. they don't own the wineries they just lend there name and make a rake on each bottle sold.I suspect El Moussa's make north of 5 million a year lending their name.. and you can see the marketing company makes a bundle.. when I met with premier the guy mentioned in this article he was busy getting ready to go to france for a year as his daughter wanted to study there LOL.These education systems are steeped in MLM roots.. same methodology.. tug at your heartstrings talk about doing it for your family.. how you DESERVE to be wealthy blah blah