to stay local, but since Brian Levredge and J Scott are doing it long-distance I'm keeping an open mind.Investing in rentals out-of-state makes sense to me if you live in an area where rentals just don't cash flow compared to other areas, but is the flip situation similar?

Just wanted to post this quote from an article I read, although I think banks are still ignoring it (as common sense does dictate main goal should be to make sure you are making a good loan that won't default, not that you are not penalized for making a bad loan), regarding it not affecting their default numbers: Banks didn't want their Compare Ratios to rise.The FHA has acknowledged this issue and, similar to how HARP II waives reps and warrants on HARP refinances, the FHA will now exclude FHA Streamline Refinances from its Compare Ratio calculation.

The housing bubble was nothing compared to what is going to happen with all these cities and counties.

I think what they are seeing is competition in the business, more getting into the market who are seeing the possibilities compared to other opportunities. my 2 cents...

Watch out for the tax man if your dividend is excessive compared to your earned income.

According to CoreLogic, "Approximately 1.3 million homes, or 3.2 percent of all homes with a mortgage, were in the national foreclosure inventory as of August 2012 compared to 1.4 million, or 3.4 percent, in August 2011.

Rather, he may be comparing the cost of trash outs versus holding time.

The average interest rates on the loans are 7.38 percent which is extremely high compared to the interest rates I have on other props that I have just refinanced.

.- I pay the $40K + interest (interest rate comparable to that of stock market or other typical $40K investment) within 3 years, at which point the deal will be done, and I'll own the home outright..- If I'm unable to repay the $40K + interest within the agreed upon time, the investor automatically becomes a lienholder on the property and is entitled to his original investment plus a % of equity returned if any (this % is part of my question, what we be reasonable, given that I'm making the monthly payments?)

I have an option to purchase property from a relative so I am getting a great price on the lot compared to others in the area (1 acre is going for 150k in some areas, I would be receiving 2.5 acres for 60k).