that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Equity position How did you find this deal and how did you negotiate it?

Quote from @Hanna Brown: @Jay Hinrichs If the bidder at the auction pays cash for keys to get the homeowner out, does the person redeeming from the owner position (exercising rights of redemption w/in 180 days) have to reimburse them for those costs they paid to get the homeowner out? 

There's bulk packs in our owner's closet that the cleaners can use to refresh supplies with or we just do a walmart.com order to resupply.We have gotten a number of positive comments in reviews on the pantry staples.  

It sounds like you’re in a great position to start your real estate journey, especially with your brother as a built-in renter.

You could easily flip this article around to show the positives. 

HELOCThis takes either first or second position (depends on whether you have a mortgage) and is a variable rate line of credit.

Just not a position I am willing to put myself in.

The problem is I have no idea of knowing what is owed on the first position deed of trust.

If you have deep pockets, I think Austin will eventually reward you, but if you are a newbie in real estate looking to cash flow positive day one or shortly thereafter, Austin is probably not your best bet in TEXAS.