It seems a traditional sale gobbles up half of it in closing costs.We refinanced early last year, and another refi would cost ~$5k, plus w/ the LTV, I don't think the numbers work out just right.Too bad we were too naive to even consider those offers when they were handed to us.

Negative cash flow is not bad. 

They want to ensure against potentially lending on a property which may be destroyed/badly damaged.  

Of course they are going to have bad credit or they would be looking in a better area.Another thing you may want to consider to drive more applications is to not charge the application fee.

It was so bad we almost lost our property because the sellers wanted to back out.

But as you said, it takes a quality renovation team, quality property management, and quality business partners.

Lastly, don’t get over levered or into a bad deal because you are so ambitious.

It was kind of a bad spot in my life at the time.

I actually know other investors from Singapore that got burned very badly in this market.

Lots of investment in the region as well so hopefully quality job growth will continue.