That has caused more of that last 1/3 to go to third parties.I read somewhere that on a typical foreclosure that the banks lose 30%-40% of what is owed to them. 

Buyers who fail to comply can face a penalty of $10,000 and lose any earnest money paid."

I got my college degree with a business degree that had real estate as an emphasis and I got a broker license in 1980.  

If I cant find a buyer in the first week or two, then its probably not a deal, and I will be forced to lose my deposit.  

Otherwise you lose your $5,000.  

I'm super lucky as I have yet to lose out.

Everything I've ever read on here, or heard on the podcast is that if you don't make at least 1% a month you will lose money.

You lose all accountablity, having a turnkey provider with a platform and foundation for you to be able to scale off of and take advantage of the economies of scale is critical in the success of your road map.I encourage you to consider Turnkey -- look into it --- anymore question just PM 

But even if you lose a few thousand, it's all the price of your education.

It seems as a safe and good plan in long term... but what would happen if the economy cracks again (I dont see the economy such an stable thing nowadays) a % of people loses their jobs, the vacancy rate rises, and the values of the property goes down and you still have a big portion of your mortgage to pay?