Anyway, yes, if you know how to work performing notes and can get a decent discount (unlikely from institutions) they can be a gravy train.

That was the sales pitch that looked attracted to me and here I am 3 months after closing and no tenant, even the numbers looked good, my ROI was going to be decent, but looking at the new tax assessment next year my numbers are going to change a lot, leaving with very little cash flow.

I'm a small contractor and builder and I'm looking for Sub-2s or Seller finance properties in Austin Texas, and I will definitely pay $10--15 k cash, no ******** for the right deal.Jerrys deal would be sweet (for him) if it worked, ie get hundreds of people to pay you money to find great RE deals and then only pay for the super sweet deals (and then take plenty of promotional photo shots to post on the web site to impress more potential buyers for the software program and couching)Obviously the other huge issue that new and hopeful RE investors MUST consider is...

In addition to doing regular inspections as soon as someone gives notice due and immediate inspection to determine if the unit is being kept up decent or if you need to plan on some repairs before it is turned.

I have studied the market there for a bit now and am comfortable with investing with decent Cash Flow and modest property price gains.

@Samantha Springs I think you’re in a decent spot and wouldn’t change anything.

"Could this be a time to pickup a decent property for a bit of a steal there (at least relative to how crazy high the market has been recently)"Yes exactly

Rarely are they in decent condition.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

For them an FHA low downpayment loan is their best shot at building wealth.