Higher returns typically come with higher risks.  12% on a rental property will probably be in lower quality neighborhoods, like B- or C, and most savvy investors will sharpen their stick enough to start poking holes in how that 12% shakes out.  

TO ALL BP Investors: this is the mindset we in the mortgage business deal with on a daily basis.Realtors reading the above comments are rolling their eyes, laughing or shaking their heads.PLEASE, will the "educated" Realtors on BP please enlighten and send him a PM on this specific topic before he embarrasses himself anymore.

They offered a Multi-Level Marketing option which they annoyingly over-advertised would pay for the education in no time if I recruited others, but I couldn't shake the fact that if the education was so good then why wouldn't they advertise that with the wealth of knowledge I would be receiving that I could pay for the classes..

I would see how your disbursement of security deposit shakes out, then if you are not satisfied you may have to take them to small claims court and have a judge decide. 

Just agree on the rent, shake on it, they move it with their stuff, everything is copacetic.

In regards to rentals, i took the last year and condensed my portfolio and sold off some rentals i had purchased before the recession that have been negative income for many many years now, so i am out of those positions with the equity at almost a break even, because i feel personally that the next few years the pricing movement isn't sustainable and its going to shake up the market again, idk if it could call for another recession, but i feel it needs some correction soon.Im very tempted to just hold my cash now for the rates to rise in hopes of the prices to settle down and instead of leveraging my next deal, that i would just flat out pay for it in cash, because then i dont have to worry about the high price of mortgage interest eating into my passive income, i know this is against most, but i feel like investors in my area just pulling bullcrap deals together and rehabbing them for nearly no profit, just to stay busy.

According to my numbers, I still have about $5,000 wiggle room to make the deal worthwhile, but I can't shake the feeling that I may be negotiating against myself.

We'll have to see how that all shakes out.Looking at rent potential, a quick look showed me 3/4bd/2+ba houses in that 92124 zip going for anywhere from $2,450-$3,895/month. 

That said, depending on the investments you are making, your prticipation in those invsments, or the type of business you are running, it *could be* more beneficial to do so through an LLC.I say *could be* because you can tax the LLC as an S or C Corp. depending on how the tax bill shakes out, a Corp may make sense in certain situations.

Ordered similar coloured siding and stained wood shakes to install, instead of extending the roof and adding timbers on the front deck.