That's just the current lending environment, and maybe it will change ... but that could be for better or worse.So when you make that extra principle payment on a loan, and then you wish you had those extra funds as cash-in-hand, don't be suprised that there might be lender qualifying that prevents you from getting at that extra money that is now equity in a property.There was another thread that discussed paying off existing properties or buying more, and where I agreed with another poster who said to do both. http://www.biggerpockets.com/forums/12/topics/34337-pay-off-properties-vs-purchase-more-propertiesI still think you should do both - you just have to plan how much and how fast to pay off when you are in a buyer's market.

Your focus on REO and short sales should serve you well in the current environment.

I believe we have up to a decade of low interest rate environment before I have to re-evaluate my thesis.

@Jeff Bridges,Real estate investors generally do a lot of refinances, which means it's improbable that you're going to sit in this 30 year fixed loan for anything near 30 years, which in turn means you are incredibly unlikely to be in this loan long enough for those points to break even.Skip the points, take the higher rate. 

Tony Robbins speaks about the importance of one's environment.3) Would the financial/psychological/time commitment worth it.That depends, my friend.

@Shelli Callan When you speak of language in listings and sales contracts, I hope you realize that Montana has a somewhat dated government/business environment.

You need to check with the state/province department of the environment and the local municipality as decommissioning of USTs may, or may not, be permitted.   

Investors continue to be a big percentage of home sales although overall home sales are rather low. Big investors started pulling back from the housing market late in 2013 and steadily into 2014. But even as that tr...

Deals in Seattle make no sense to me (caps near 4%) and very unfriendly landlord environment but Thurston and Kitsap counties offer good value .

So unless you are going to get into a military type environment, you might want some time for acclimation.Now you are a an interesting position, but the outcome of your next decision is driven by several factors I think are important.  1st, what is your big reason for investing in real estate?