What's left is the amount you could spend on the debt payment.

I spoke with owner and he owes $170..he only wants his debt cleared...the prop is worth $230-280 comps.

. = 3,792 mnthly payments44,400 annual income - 45,508 debt service = -1,108 (loss in year 1)Hardly impressive.

Is that saying that they are only selling the tax debt, but not the full property?

Dying doesn't eliminate debts.

In my opinion that's the most important metric, return on invested capital.If you leverage your property to 100% with minimal or no cash flow you're pretty much banking on equity creation (debt reduction) or price appreciation.

If the bills mounted unpaid, the city would take possession of the property.

Banks, and mainly European banks, have large exposure to emerging market debt of all types through both sovereign, corporate and individual loans.

Seems to me that during the Clinton years, the economy was booming and the National debt was non-existant.

Surely, a property needs sufficient cash flow to cover expenses, debt service, etc. in order to run smoothly.