To me, its the best of both worlds (buy existing for cash flow vs. develop from ground up for greatest equity gains) You get cash flow from day one to offset some or all of your operating costs (rather than feeding the alligator for 1-2 years with new development) and you still have the Value add opportunity that comes with an operational overhaul and subsequent expansion.I personally only invest in low crime areas.

Questions to follow in subsequent posts ;-) After having the opportunity to live, work and play in the Florida Keys, I came to the realization it was fun and I wanted to make it permanent.

In subsequent years, my grandparents would put a $5 bill in my birthday card and I had to put the money in my savings account rather than use it to by comic books and bubble gum.

Question - how do you go about financing your subsequent deals?

When I was still doing SFH investing I was spending a lot of time on direct mailers, talking to potential sellers (who are generally never happy to hear from you), and all the subsequent issues once you buy the property.

Deviation from historical affordability on the other hand, at peak 2007 was highly correlated with subsequent market drops (in fact 83% correlated at the state level in a study I did)

We subsequently find that there are at least 3 more 'investors' plus a lender who is owed the full value of the house, roughly.

On a subsequent survey (20+ years later) the hangar was centered on the two acre original planned site and the property line of the one acre piece actually deeded over was literally down the center.

well it took one complaint from a disgruntled CA buyer and the subsequent investigation by the DRE established that he marketed a property he did not own.. they did not buy the equitable interest theory.. and he was issued a Cease and Desist and small fine.  

There is a way to go back and evict someone who takes possession subsequent to you without having record title in the chain.