Getting to know buyers and earning their trust can make a big difference.

So far, not a single call.From everything I've read from REALTORS and investors, you have to create an annual budget and stick with it for six months to a couple years before it starts to pay off.

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.While the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall annual loss.

As an example I have spoken to many and have volunteered to share lessons learned from notes, private lending, or any other type of real estate and first questions are “what will you pay for referral fee” or it costs X to speakWhen I tell them I am not selling anything - they don’t care.

I asked a lender to run an estimate for me and I was shocked at the amount of fees that I need to pay.

It's amazing how many people are willing to pay that premium to have the flexibility.

Issue is he is paying 750$ a month for the 3br/1ba unit.  

Multifamily homes offer the possibility of the tenant paying part of your mortgage. 

At this point I just need the repairs done.Of course they can foreclosure without clearing the first mortgage because the auction will pay the mortgage and whatever is left is dead money as the lien is done with at that point even if the amount from the auction isn't enough to pay off the mortgage.

My company is a great paying and flexible company that is allowing my fiance to move to the Austin area when we want to in 2025.