Between depreciation, income, and mortgage interest you're probably gaining cash on year end taxes, making it more cash positive than you're counting... then again, the best laid plans of mice and men :) It's just a spreadsheet afterall.In the most broad sense I am with @Joel Owens- Odds are good that if you sell in Aug, move into an apartment while looking for a good 2-4plex, and then finance that 4 plex with another FHA loan you'll likely come out way ahead.

Real Estate in areas such as O.C. will appreciate in the years ahead, and those investing now know that, and are positioning themselves for future appreciation.O.C. has Billionaires, Centi Millionaires, Millionaires, and working class people.

I may pay for the appraisal ahead of the financing in order to make sure that the owner has a realistic opinion of what the unit is worth at the time we haggle price.

I have asked my tenants to please give me a heads up if they will be late but rarely to I get any warning.

It won't cost her much because she's selling, not buying, but between the property being condemned, and her not knowing what she is doing, having someone on her side is a good idea.If it is an estate sale, then she already has an attorney working on a license to sell, but I don't want to get ahead of ourselves here.

If so, then go ahead and start accumulating cash and investing.

Sometimes during my lunch break I'll go ahead and check up on the property make sure everything is straight and secure.

J Scott, unfortunately my employer is looking strictly in Southern California so looks like I have a TOUGH road ahead, I do understand that short sales are drying up, but my employer is looking for short sales and possible unity or properties to tear down and re-develop.

And if you haven't jumped in yet, go ahead and let us know what you've been up to.

We have been waiting for 22 years to see the road sign scrawled in blood red letters, Curve Ahead!