REO companies are not going to change their protocol so we all need to know the work arounds to limit these type of unforeseen repairs

You are providing discounted materials (and I question your ability to get a 50% discount unless you are buying them direct from the manufacturers in HUGE volumes), but the investor is taking on the risk that you won't pay your suppliers for any unforeseen reason, and that your suppliers will have a viable claim against their property even though they've already paid you for the materials.

I am seeing a common thread here in that it looks like getting through the first few homes is a major hurdle (financially), but once you get up and running, it becomes easier to ensure you have enough reserves to cover unforeseen expenses.

I think the most important thing is to have reserve set aside for these unforeseen events.Fine, you say, I'll just walk away from the whole mess if I don't have anything invested.

You must factor those into your internal pro forma otherwise you run the risk of unforeseen expenses.Hope that helps and good luck!

I'm not sure if that would be creating unforeseen issues though?

And I don’t have a problem with unforeseen issues.

Are there exceptions due to sudden, unforeseen occurrences?

What was the most challenging thing, and also were there any unforeseen circumstances?

I figured I’d buy my first multi-unit with a FHA loan to secure the lowest down payment and have some funds left over for unforeseen expenses or improvements.