Just have a few questions before we get to deep into the process:What are some common mistakes that can easily be avoided?

If you could buy it with a 15% discount: $60,000And rent discount at $2200 mo. with a 5% increase annually would be: $132,615 for 5 yearsYou would be buying the home at a 48% discount in this example.

In fact I had one done that size over the summer from some real slobs who moved out, and it required an inordinate amount of deep cleaning including almost one full day just on the filth of the kitchen floors, and it was $400. 

This lender has a floor rate of 6.75% on this program (.5% discount points added to get 6.75%)Same lender can do 6.19% with 3 discount points on their other program (plus broker fee on top) if you do want a low 6% rate. 

Without a deep understanding of these elements, can you underwrite a deal via an algorithm ?

I love partials for minimizing discount on notes (and to keep some of that interest rate working for you). 

The discount on the full hurts!

Regardless of the asset class, the common thread is clarity, consistency, and respect.At Robin Hood Properties, we’ve learned that balancing profit with a deep commitment to customer satisfaction creates sustainable success for everyone involved.

In other news, it may be tempting to purchase a waterfront property at a deep discount along the Western Coast but beware, you might get flooded in the next hurricane unless you want to do a teardwon and build on stilts. 

A few thoughts on the subject from someone who made a living doing this until the laws changed on the West Coast.Most folks in foreclosure go into deep denial.