Generally speaking, I think tech like this stuff and social media have lowered the barrier to entry, allowing people to take risks they dont fully understand, whether wholesaling. flipping, lending, etc.

You have to sell, you over leveraged, but the property has dropped in value, no lender will lend to you and you have to bring money into closing to sell the property, but you don’t have the money.

TERMS- Deal Type: Seller Finance- List Price: $580,000- Purchase Price: $780,000- Seller Carryback: $693,000- Total Entry: $100,000 Breakdown: Assignment: $13,000 Down: $87,000- PITI: $2,657 Breakdown: Principal & Interest:: $2,000 Taxes: $464Insurance: $193- Rent: $5,250 ($750-800 per unit)- Amortization Years: 28.88- Interest rate: 0%- HOA: NONE- Balloon: NONE- EMD: $5,500- COE: Feb 12, 2025- Occupancy: Occupied, Occupants staying post closing- Title company: PROPERTY DETAILS:MULIT-FAMILY7 Units - 2B/1B per unit- Living sqft: 5,200- Year Built: 1940- Age of Roof: 1- Age of HVAC: New- Age of Water heater: New- Condition of Electrical: Good working condition- Condition of Plumbing: Good working condition

The digging out has priced out much lower than we thought initially, so we’re using the additional money for an overhead sewer (the only flooding we’ve had in the 13 years we’ve lived here has been sewer back up).

Hey, I’m not an investor, but some unexpected costs to consider are closing costs, agent commissions, and most importantly, taxes.

A 1031 exchange doesn’t apply, but funding through a self-directed IRA can defer taxes, though profits from debt financing may trigger UBIT.To reduce taxes, consider forming an LLC for better expense deductions, offsetting gains with investment losses, or holding the property for 12+ months to qualify for lower long-term capital gains rates.This post does not create a CPA-Client relationship.

The whole point of a cash offer is speed and certainty - if you can bring a pile of money to the closing table today, I dont have to worry about you not getting the money to close. 

Although I conducted a basic septic inspection during the closing, and the system is in good working condition, it still failed the STR inspection.

Taxes are half the cost compared to CA and insurance is lower if not by the water.

The only thing I would advise is to keep a close eye on the HOA fees, as that's where the cash flow can get squeezed.