I hear a lot of talk about how wonderful and how easy the SW belt is at making big fortunes with huge cash flows and multiplying profits, but never hear about the realities of investing here and what the market is actually doing "today", which is a far cry from what I'm reading about.

Rodents multiply rapidly.

You make money in real estate when you buy - either from a motivated seller or by having a plan to reposition the property.Not sure why you're ignoring appreciation as that is the big multiplier in real estate.

Account Closed  Good stuff there.I do think we're in for a rocky road here in Illinois given how big a hole the govt is in and how overtaxed we already are (property taxes in some of the towns I'm in down here are 3.5 to 4.5% - and thats actual rate not the 3times multiplier so the rates are 12 to 14 in kankakee and will county towns).I've questioned what the rising rates are going to do.

You are looking at the economy and the impact of the multiplier affect.

If it is interest only, take the interest rate, divide it by 12 and then multiply that by the $80k and that is your payment.

Multiply that for hundreds of properties a year and there is no discussion left.

So there is a small cost multiplier effect with these foundation houses (in my single-project limited experience).

I've read that you can multiply the current gross monthly rent by 50-70 to come up with a decent estimate.

Take the amount of vacancy you expect and multiply it by whatever number makes you comfortable.