I pay taxes, insurance, and anything associated with the property that would fall into capital expenditures.

Market falls 15-20% and that property trades for $200k going forward, that’s $25k in unrealized capital loss, or roughly 5 years of FCF.

They have paid around $70k into a $170k mortgage over 20 years so far and have been constantly falling into credit card debit, renewing their mortage over and over.. its never ending.

He told me that this strategy could work well in a market where prices are falling.

Can't see much happening before next fall though, I have two projects in line already.Too many ideas, not enough time....

Fair housing is little more than the boogie man when you have clear screening criteria you can legally fall back on.

Doubtful that water run off or falling ice is hitting your siding, no matter how much it rains it falls pretty much straight down.

In the past, I have adjusted the due date, set up 1099 type tenants on a quarterly payment schedule, requested (and received) 2-3 months rent in advance, sold the property via lease/option, etc.I get that the norm is rent due by the 1st, late fee accrues on the 6th, but this tenant's situation apparently doesn't fall into the normal category, so ask the question, then evaluate whether you can live with (and accommodate) the answer.Good luck!

I'm not terribly worried about offending sellers, I buy used items at work all day from people who are offended by the prices I want to pay, but my agent seemed to fall apart when I told her what I wanted to offer.

As I think though the Math...If a property that is worth 5.3 million today at 6% cap approximately, at 5% interest rate; if the same property I could get at 4.3 millions in 2 years if the market falls, then interest rate possible at 6-7%, my cash on cash may be better but still not significantly better due to the higher interest rate, plus opportunity costs of sitting on capital for 2 years (1.3 million investment earning 1% bank interest instead of 7% COC if invested, loss of tax break depreciation, total loss may equal 200k loss in profit), plus increase in the rents and some value add could increase the cap from current 6 to 6.7 or so.