Being foolishly simplistic, 25,000 BP users puting in $10 each is a quarter million bucks.

My point is that it's never quite as simplistic as "wait for a correction/crash/etc."

I know that's a simplistic view of escrow, but in essence that's what it is.As Bill stated it is simply a controlled environment for the actual deal to go down.Andrew

That's simplistic, you can make money with condos, but I like to own the dirt underneath.

Expenses Example:  For simplistic purposes let's say the house cost $100K. 

Simplistically, to determine how much you need to accumulate you need to know: the amount you will withdraw per month, how long you will live and what inflation will be during these years.

Enough with the background and on to my probably simplistic questions:Financing QuestionsObviously a bank would not give a standard commercial loan on this project as it is not stabilized.Financing possibility a.

The lesson here is that simplistic formulas can be very misleading.

To answer your questions specifically about which numbers I look for, it's dependent on the type of deal but most simplistically I look at cash on cash return.

It must also Cash Flow a minimum of $100 per unit using the 50% rule for expenses.This is very simplistic criteria.