These may be more time than money costs, but still, they're duplication.The net of it is, by nature of the house being sold twice in a short period of time (once to me, then, after some fixups, once to an ultimate purchaser), there are a lot of one-time transaction fees that are absorbed two times.

Ultimately meaning your returns are infinite.

The number one reason they fail is that they don't have sufficient cash flow for their business to survive.

If it didn't pay my bills, I wouldn't have the time to give them vital information because I have to eat.We live in a capitalist society, and we each survive by providing some type of information, service, or product that will help someone accomplish something, and we do it for a fee.

This way they can keep up and your heating and air conditioning units will survive.

it matters what type of business in you're in, what business entity will be most effective for you (taxes) and which will provide you with the greatest protections (assets).having said that - don't get caught up in all the craziness of the ultimate buzz word in rei - "asset protection".a business has to have a plan.

upREIT or 1031/721 - you can ultimately exchange into a Real Estate Investment Trust.

And when it does begin to turn there will still be plenty of opportunities to make money.Starting out, an investor should think more about how do I survive long enough to get through the learning curve and less about how do I hit a home run right off the bat?

In addition, it shoudl be remembered that in the rental business we're not flipping houses, wholesaling, or running a business that requires doing 5 deals a month to survive.

You want this person to be a REInvestor not a professional mentor.And remember, this business is ultimately a people and relationship business.