Hello Michael, I think with so many ways to get started in investing you're bound to find numerous opinions on what is "the best" place to start.What are your mentors telling you?

I was on the computer all day everyday and started really looking onto real estate.We have bough and sold numerous properties in the last 4 years.

Listen to Podcast 54 with Lisa Phillips, gives a good explanation of the differences.Personally, I would be nosy and try to find out why the owner is moving to Florida, what he plans to do for cash here, and why he is selling.

He has mentioned the carpets to me numerous times and I have noticed that there are more runs than there were initially (mind you while I was building storage units in the basement I could hear the dogs running back and forth and skidding on the carpets for hours).

Their explanation was that they have never financed anything, never had any credit cards, and only paid cash.

@Chris Clothier gave the best explanation.

Respectfully, with an explanation that it is in their best interests to cooperate if they want the option exercised and the house sold.And I hope you hear what Bill Gulley is saying, and aren't claiming that you are a final buyer with "partners" as opposed to a wholesaler selling an option.

Occupancy rates are high, cash flow seems good and there seems to be a good chance for appreciation.The NUMBERS:Knowns:Purchase price: 140,000Current rent: 1,600Estimates:Taxes: 327.83Maintenance: 250Mortgage (@10% down): 724.08Holding costs: 0Repairs: 0Closing Costs: $10,000Average monthly rental (@8% vacancy rate): 1472 Explanation of estimates:-We're talking about putting 10% down because we have other sources/uses of cash.

Currently I am laid off but getting tons of offers so will not be for long due to numerous offers.

I think @Matt Devincenzo gives a good explanation for this.