I think your security deposit is too low.

However, just before the tenant moved into the property our PM discovered the brand new water heater we just installed had been stolen (there is outside access to the utility room and even though there is a metal security door they had ripped it off).

It's not like we're bundling sub2 deals into tranches and selling them as mortgage-backed securities like they were with subprime mortgages, yet. 

@Theresa Pisani  Theresa — if you’re genuinely interested in a property, go ahead and make the offer, but write it contingent on a walkthrough or inspection.That way, you secure your place in line without committing blind.

I guarantee you are more likely to secure favorable terms if the seller likes you and can imagine you as a great operator for the business.

Then, just secure a solid tenant with good lease terms.

Most generic templates miss key categories like rehab costs, security deposits, loan principal vs interest, etc.

 Be generous to the neighbors, they can be valuable allies for the security of the house and possibly lead to referrals.

I moved quickly to secure it rather than negotiate heavily.

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