I can’t tell you how many people I know who are new to this, and wanted in so bad they would rationalize paying any price just to play the game.

Lose the property, get $0 and ruined credit.not really list it with a good broker sell it in 3 days for 100k or better.. no rationalizing how you guys cream peoples equity.. it is what it is we all do it.. myself included.. just depends.. on how you got the deal.. if its MLS or agent brings it to me.. then I pay whatever.I mean I have bought properties that agents listed and they had no clue as to the timber value..

Is that a rational concern?  

That's not investing...that's speculating, and you'd be rationalizing the deal to be a good one.Also, just because you have the money (current job) to cover the negative, doesn't mean it's OK. 

It's a good exercise to do anyway, but as @Charlie MacPherson points out you'll need to rationalize (and defend) your numbers.

From what I hear, when everything is going good and your tenant is a normal human being who is rational, self mgmt is the way to go.  

Some examples of things that are negotiable in a contract to buy or sell.settlement date earnest money depositwho pays which closing costsWhat date are the pro-rations based on contract or settlement date.Are there any contingenciesHow long are the contingencieswho pays back taxes or other debts on the property.These things may not be as important to you as to the other party so trade them for terms that are important to you.

Hi Tomas, sounds like your debt to income ration is might be getting a little strained.  

You're just rationalizing now.

In my inbox for alert on Greeley and I was offering on a short sale lead I got and estimating repairs on it in Wellington and I stopped to check out a house with papers posted and it was a notice from you as realtor doing an eviction on an REO.Good stuff on the rational for ARM's a guy that lives on my street and has about 25 sfr's swears by ARM's because of what you said and in his investing lifetime interest rates have been mostly going down.I went to the CSU Everitt Center Real Estate market prediction last night and they are real big on Greeley over the next 3-5yrs to continue appreciation and growth with oil and gas, business friendly and going over 100,000 population in about 2 years putting on the map for larger national developers and business'.Time for me to make some more offers and get some more rentals.