Hi all, new here at the forum and thank you all for all the knowledge you guys share…its amazing.I am interested in this question as well as we just got back into this from like 10 years ago, few things have changed for us, and the main one is finding deals with whole sellers, sometimes the price looks good, but once we add numbers we are currently seeing that everyone else in the deal makes tons of more money than us….for instance, we have checked properties now, where we pay closing cost, interest on a portion of the borrowed money, commissions after selling the property, etc and we see 30-40k going out on all of this,  then we barely make a 20k profit or less on a property of 200k …many of the deal we found we barely get close to a 10-15% of the initial purchased price, which to me sounds like a lot of hassle and my wife says that i am getting old and too picky :)i keep saying that ideally we should shoot for 15-25% profit from the purchase price…if i get a property at 200k and the rehab is 50 and everyone else makes 30k then we should at least net out 30k as well.

When the area eventually becomes saturated or supply exceeds demand, all you can do is race to the bottom to compete on price.

i see that notes focus on cashflow as the main underwriting metric.

New supply and rising expenses are probably even more impactful.Florida has some of the most new construction going on in the country, and is seeing rapid increases in insurance costs.

On the other hand, if you find a supply vs demand imbalance in a cheaper market, prices and rents can rise unhindered. 

Tax sales sound great but in FLA its tax certs which are a business unto themselves the tax sales are better mainly land though.. we have done pretty good with land only in FLA.

Once renovated, the ARV could easily reach the $500k range, based on similar homes in the area.My question is: with the daycare operating in the back, would this pose any issues if I wanted to rent out the main house?

The main thing I am looking for in a market is the right team!

We come across a lot of owners super frustrated with their current manager and the main issue seems to be communication, on top of cleaning/maintenance and lack of attention to detail. 

We come across a lot of owners super frustrated with their current manager and the main issue seems to be communication, on top of cleaning/maintenance and lack of attention to detail.