Long before finding BP, a friend of mine called the out of state owner to inquire about his desire to sell. 

As one old man of Babylon instructed — If you would desire to know the truth about sheep, go directly to the herdsman.

hi bp'ersi am trying to find a loan for 90,000 but my debt to income ratio is a bit high as i've been putting most of the profit from 14 units back into them. i've aquired them in the past 2 years so it's been somewhat compressed. they're all rented and i'm pulling noi of approx 2500/month.i have 30k cash and i'm looking for help. this would be for my primary residence. believe it or not, the house is being sold by my ex and i don't want my kids to have to move so i waould just move back in once she's out. the house is in a top school district and in a desirable location. it would definitely appraise around 120k.thank for any help!

I don't think one is better than the other because everyone has different reasons for getting into real estate and it may be a little more difficult for you to find a team that can support your desire to work with investors.

Surely being an investment guru yourself you know these less than desirable alternatives.

Part of the reason why new construction is not generating the desired returns (4% to 7% if you strectch) is because of escalating construction costs.

The biggest risk in buying a junior TL is that the other lien holders won't initiate foreclosure because they are just interested in collecting interest or they don't have the funds or desire to initiate foreclosure. 

The market is pretty competitive here and it's not cheap unless you want to dig into the "less desirable" areas but there are deals to be had.   

It's a huge gamble because I've seen properties go for 50% of FMV and others go for more than 100%, it all depends on who is bidding and how desirable the property is. 

It is quite probable that areas in different parts of the City may see properties selling at different CAP rates based upon desirability and risk.You also must remember that CAP is a course indicator of valuation - you would still need to examine the particular deal and make adjustments for age of the property, state of repair and current performance.