-----Edit to add (And this may spark a lively debate, which would be awesome)The link to 123flip above with the schedule for contractor payment works pretty well on small jobs (say, $35-40k or less)On large jobs, it's not very reasonable to expect a GC firm to carry 40% until the last nail is driven and 30% until the mid-point of a job.... unless they are charging you substantially for the carrying cost of their financing.

Thank you for the info.When I post this, it was more related to the ins and outs and how this could affect myself (as a owner of my own property).Also, I would like to have an overview of a deal and what does it entails (your article nailed it very precisely).Also, thank you (@Wayne Brooks) for letting me about the real behavior/nature of an auction.Thank you everybody.

@Patrick L. hit the nail on the head.

(This is where wholesalers get nailed for trying to sell a property they don't have title to!)

I'm trying to figure out the acquisition price / rent ratio and nailing down rents is really hard!

Keep on it and you'll nail it soon. 

Robert Soto nailed it.Jersey is unreal.

This is an offer, legally binding, you mess around with a seller or broker without having available funds at that bid amount and you can get nailed.

Unique culture (determines appreciation potential)Other considerations:At the city level...Quality of Masterplan (determines quality of development/walkability/quality of life)Crime ratesPath of GrowthNeighborhood quality (Are there Starbucks and nail salons or Mexican Grocery markets?

. - start talking to banks/credit unions first as well as nail down my credit score) but my next step will be to looking into local REI clubs and get more localized information.