These are just a few examples of how I would cut that $7,500 down

We look for the foreclosure for the great deal, but unless we can do some good then really we are simply part of the problem.We are starting to do deals in Australia that have been around since Adam was a boy and they don't involve bank finance but offer a means of structuring a sale and a purchase to give the seller what they desperately need, while at the same time giving a buyer what they need and can't get - a house!

Bank underwriters simply "accepted" this phenomena as gospel.

I was simply trying to give an example and compare my actual numbers to this rule of thumb.

After the bust, the feds cut interest rates, making lots of money available.

You'll need "business skills" ...and using your first home as "test case" is a great way to empower your decisions...even if the decision is to forget the real estate business.If you find you like this business...simply "rinse and repeat" the above process.

It does, however, mean that a lot were when refi's and sales were at such a high volume that the lenders were not even looking at the appraisal for the most part.Getting back to the role of the lender -- all lenders are subjecting appraisals to close scrutiny, first applying certain measurements to the basic facts, and then sending it to appraisal review when it does not meet the standards of these new guidelines (and they do not meet them A LOT right now.)It doesn't matter what the realtor feels it is worth or sometimes even what the buyer is willing to pay, unless they have deep pockets to put down a larger down payment to make up the difference they cannot finance -- the lender will have tremendous influence over the value simply because they control the purse strings.

Since I am a sub-2 specialist, when I am talking with a seller, I simply ask them if they would be willing to allow me to take over their payments.

My advice: cut your losses and run unless you can straighten up the problem and go on.

Also there is "cut" vs "split".