Vijayakumar Subramanian auctions are a tricky one, it really is a gamble.

Otherwise you're real estate gambling not investing.

But these are friends and family that took a gamble with me on my venture so I feel wrong to increase my rate.

``````````````````````````````````````````````````````````````````````````````````````````````````````````````````````````````````People that are behind on payments and PITI is more than market rent and have no equity is a real bad gamble.

Yes Washington,New York,and California for example are all overinflated markets.Many investors purchase there on the on an appreciation gamble than the CAP rate.I have many investors buying down here because they can leverage their cash for so much more greater returns than where they live.In some areas that I mentioned acquiring the land is the real goal and the CAP rate is an afterthought.Here in Atlanta the only 7 to 7.5 cap I am seeing is CORE assets in trophy locations.Example A class newer multifamily that a REIT or PENSION fund is buying.

I took a gamble and lost haha.

It is a gamble.  

There are no natural disasters. there are two major universities, there's a good amount of things to do, taxes are low (I see newer houses with lower taxes than some 100 year old midwest homes), the area is easy to get to, and the laws here are pretty friendly to investment as the government has taken the gamble of giving major tax breaks to corporations and this in turn has helped fuel the job market.As for the rental stock, the seasonal snowbirds seem to have enough money to either do long STR's or own second homes here.

Especially if you're getting help to do it.That said if you don't plan to use your degree in the relevant field going into debt to do so seems like an unnecessary gamble. 

I know many of the investors on this board are honest but for every one of you I can show 5 dirty investors that will use a broker/agent and spit them out.Their is a fine line for a little upfront work to develop a relationship and flat out doing a ton of front end work hoping to get paid on the back end.That isn't a business to me but gambling as a broker/agent.I agree with J Scott that a great buyers agent doesn't always make a great listing agent.