Diversifying geographically can also reduce risk and increase long-term returns.For example, there are several markets across the U.S. that are ideal for new investors because they offer affordable entry points, reliable cash flow, and strong economic fundamentals.

But weigh the costs of insurance and taxes against the cash flow and make your decision accordingly.

If the property is not cash flowing and is due to your mortgage carry, it will most likely require a cash buyer to work (or close to it). 

This negative position can consume years of cash flow to recover.

It’s easy to approach networking with a “what’s in it for me” mindset, but I found that the most valuable connections came from a genuine interest in building mutual trust and respect.

If so, you were never going to be able to refinance out of that without putting some cash into it. 

Purchase price: $154,431 Cash invested: $122,578 Sale price: $309,100 Hurricane flooded fix and flip.

(Not just cash at closing but sales price minus selling costs, minus purchase price, minus improvements.)

An older investor should focus on cash flow because time is no longer on their side.

I've come across another deal where the cash to close is roughly $22-25k and will secure a 2022 five bedroom home with a 4.25% rate.