People might get the wrong idea of what kind of business you're in or might want to relieve your of your baggie.Another bidder i saw had a large manilla envelope filled with $100, at least it wasn't so transparent.People get carried away at auctions and often bid retail or near retail prices and there always seems to be big money in the room, so your experiences don't surprise me.

@Pete Tam You would be surprised what people post on social sites that is indexed in Google.

The damages awarded against you can be large.It might surprise people to know that my commercial clients buying larger apartment buildings that the utilities are number one on the concern list.

(Surprises).

@Tinotenda Arigurinu you would be surprised at how many investors do not know about the 50% rule, or the 2% rule etc.

Surprisingly our conversations have been very easy, I'm guessing cause he's stoned...I am pretty comfortable with my screening process as I check: Credit, criminal, evictions, and bad checks.

.- My last point is that, unless it's a BIG house (more than 2000 square feet), I'd be surprised if you can't find a paint bid for much less.

Hi all,I just met with my RE agent and surprise, surprise, based on the pre-approval that I got from our broker, I could not find any properties that I could positive cash flow with unless I put more than 20% down in "decent" neighborhoods.For you SoCal investors out there, where alternatives are you looking at?

A bit late but to anyone else reading this post - that test is not easy at all - I was fortunate to pass the first time around (actually a bit surprised since i thought i failed).  

Since cap rates are the result of market actions AND a lower cap rate means possibly that the market is paying MORE for an equivalent income stream than say Surprise, AZ it could be very well that there is market anticipation IN LA that rents are on the way up or that prices will increase even more or BOTH.