I know that from math.

However my target purchase price would need to be roughly 70% of ARV - rehab costs - assignment fee;  155k - 70% of ARV = $108,500$108,500 - $15k rehab$93,500 - assignment fee= MAO of $87,500Now doing the math and writing this all out, & seeing it on my screen - I have my answer. 

There is a a healthy market for performing notes but you need to do your homework to make sure the loan was properly originated and the collateral vale supports the note in the event of default, etc..

No harm in this, so long as they are made aware when signing up.I do like to see that you would do local homework, verse some of the other mentors who it seem try and use general info, and apply it to specific markets.

Interest rate pricing on both is bad; you can't have your cake and eat it too.Many retail banks (places you can have a checking account) only offer one or the other, but not both, limiting the options that consumers will be given, until said consumers reach someone offering the full gamut of Agency mortgage products.One said I can't use HELOC for a downpayment.That particular institution might have that overlay, or that particular loan originator sucks at math.

You've definitely done your homework on what to read!

Always do the math numbers and try to look at the prospective properties before you make an offer or at least have a clause in the sales contract that will allow you some time (usually about 15 days) to inspect a prospective property and possibly back out of the deal without a penalty that will hurt you.Know what that area your in is popular and just do that and hire an Agent to sell it for you.    

In order to protect myself from a discrimination claim I created the following math equation to make the final pick for me Because math cant discriminate.

I think they are more used as vacation rentals and I don't know how to do the math on these.

Right now it's just dirt, and I've done some homework and it's going to cost about 10k to get the drawings from the architect, and about 350k to build, but the revenue model I have figured out should make this a lucrative property.My concerns are, how can I earn money in the meantime while it's just a lot?