Think of it this way, if there is little or no equity left after the first then any second is likely to get wiped out during a foreclosure (FC sales are at a discount), once we have been through that cycle we will know how seconds do.I prefer fist liens because you capital is better secured and if you do have to FC then you can take the property back and resell with owner financing with a high probability of being paid in full.

I would say you should first determine what you want to use the property for (ie. rental, resell, etc...) and that should give you a better direction on what to purchase.

If you buy property as a rent to own do you then have the right to rent it out or resell it?

Maybe I'm missing something here, but, since transactional "flip" funding is limited to 1 day, and unless an investor's own cash or hard money is used, where on earth do investors such as Andre obtain the funds that will enable them to purchase, rehab, and resell for as long as needed???

I can only speak as a house flipper (rehab and resell) and the way I do business...but here's what I've done...

They are middle men trading in money the same way that wholesalers are middle men trading in deals.Most mortgage "lenders" are actually just originating mortgages and then reselling those loans on the secondary market.The Silver Bullet-Go Direct to the SourceMy private lenders are direct contacts of my partners and I.  

Is this a flip where you bought it and are reselling it??

Engineered wood will actually increase the value of the home which you are trying to resell.

I wonder if there is a rule of thumb note buyers or trust deed investors have for the total costs of foreclosure and reselling a property to re-coup your principle in case of default.  

This is important because if will help determine the after repair value if you plan on reselling and will give you an estimated return if you plan on holding.