So, again IMHO, the scales tip to this being a way to extract a few grand from a desperate homeowner.Short sales fall into a couple of categories.

I would also adopt a few habits to make your "education" a little more meaningful & intentional:1) Write down everything.  

Its been highly profitable for Texas but this is what I seen working in various parts and being there TDY.Texas:Low cost StateLow tax StateExport driven economy historically (extraction and agriculture industries)When the economy started changing in the 1970s Texas got out in front of it.

Tax liens seem incredibly complex with rules and regulations and bidding etc and I can't see how an individual investor could really participate in any meaningful way (like trying to deploy $250K).

We want a discounted property (10% below retail would be real nice) in a decent area that projects at least cash neutral and has a value add that allows us to extract most of our investment back out after the refinance while having increased our equity position (BRRRR). 

Build meaningful relationships and find ways you can provide others with value.Let me know if you want to discuss more, happy to share some of the things (and mistakes) we did and still do today.

Forge Strong Industry RelationshipsBeyond brokers, other industry relationships can also play a meaningful role in sourcing off-market deals.

Does anyone have advice on a profit first system, or tidbits on how you put systems in place to calculate cash extraction while maintaining growth. 

We attribute our positive BRRRR experiences to our rigorous and risk-based due diligence, conservative underwriting, and meaningful networking.Operation:Net annual cash flow equals approx. $37,800 after 19% reserve for Vacancy/Credit loss and Capital Expenditure across the portfolio.Goals:We are looking to acquire a 50+ unit commercial-residential complex (<$4M) by the end of the year.

@Tyler Wisner zip codes are generally too geographically large to be meaningful.