I could back out of this deal if I wanted to, or re-plumb the entire house ($5k-$7k) or just leave it alone and roll the dice.

My school of thought is this: if you can honestly stay consistent and take the excess money and invest in some vehicle that earns a greater return than the current cost of your interest rate, i would invest in the higher return, continue taking the profits and rolling it over (compounding it) and growing the excess cash and interest faster than it does by paying down your mortgage.

You single-handedly are the reason why I am now researching this method of real estate investing.I appreciate the kind words...thank you (very sincerely).Of course, as I mentioned on the podcast, I got my start here on BP, so I have to roll that credit up to Josh and many of the other long-term folks here who gave me the inspiration and knowledge to get started (as well as plenty of newer folks that are teaching me stuff every single day)...this is an amazing place with lots of generous people...

I was stumbling around thinking Brandon Eleazer was rolling fixed expenses into the "remaining 50%" of his working capital.By the by...in my area if I could find a true $50K property that would reliably bring in $1K/month, I'd buy them all day (well, maybe not during lunch-time).

That can maybe for this stated year 2011 but in a longer lifetime you should look at min 55% with this propertie and in this case the price should be only $2,2M in my mind.If you want to pay in cash it can be an deal but with financing you will have an drag.Do you got the P&L of the last 3 years better the tax statements and rent rolls?

I really dislike particle board especially the sink base cabinet.One leak and they swell up, crumble and it's irreversible.Tenants always put too much stuff into their sink cabinet.  200 bottles of hand detergent, DW detergent, cleaners, bleach, comet, rolls of kitchen napkins, candles, extra kettles, and 500 supermaket plastic bags filling every air void existing in there meaning any minor leak will not be noticed by them until it's pooling on the floor.

Meaning our rent collected on some properties, exceeds our rent roll.

But then again, I have no experience, so I could very well be wrong.I am currently looking to learn as much as I can while I continue to save money for the next few years before I get rolling.

I didn't put any money down, but my bank did verify that I did have 2% of the purchase price.My appraisal was above the purchase price, so I was able to roll closing cost into the loan (you can go up to 102 or 103% LTV if I'm remembering correctly), and walk away with money at closing.

:roll: Video of Thursday night's near riot is currently one of the top videos on Youtube.