It's an amazing business and it's like printing money if it's done right, but you have to have systems and processes that are airtight all the way through the property life cycle. 

Remember the biggest part of the life cycle for any asset is the holding phase.

They will again be the eyes and ears of your property during the longest part of the lifecycle of that asset - the holding phase.  

@AJ Wong, That is a very natural progression in the life cycle of a real estate investor. 

The cheapest lifecycle for any deal has been like 23k, the most expensive life cycle has been 48kThe lifecycle includes:DownpaymentClosing CostsInsuranceHolding costs of loanUtilities and taxes at property until you sell/refiDownpayment to contractor to start workLike I said, the cheapest life cycle I've seen so far was 23k and that was for a deal with numbers of:60k purchase60k rehab170k ARVSo, you can imagine when you step it up and are buying distressed houses at 150k/200k and putting 100k+ into them the liquidity needed to survive the projects life cycle will increase dramatically.And as a rule of thumb, if a project can require a 80% - 100% cash on cash return in 150 days or less close to close then it is a good deal.So if the project life cycle costs you 30k, you want to net 30k as a return. 

Each of those cities have a cost as to what the small deals will cost through their life cycle: closing - rehab - sales/refi. 

It would be more at 85/100 or 80/100.Think about the entire lifecycle of a deal, not just costs of the loan.

You have the money to carry the lifecycle of the deal, you'd just need to carry that $375/month for 6 months? 

Ask them to walk you through a deal or send a sample term sheet for someone of your experience and credit.3) Bring all the info together and compare the differences4) Finalize that realistic capital number you will need to see a deal through from close to close: cheapest life cycle I've seen has been around 25k. 

Consequently, lower interest rates may not save you a significant amount of money during the relatively short life cycle of the loan.In conclusion, while the HomeStyle Renovation Loan may offer a lower interest rate, it may not be the best solution for everyone.