Added to this is the economy - this is getting better by the day and house prices in most areas are rising.

Also, the rate may be considerably lower, however the payoff will be very short.

The second a rehabbed property becomes a rental, it's value drops considerably, and -- unless you can guarantee appreciation during the resulting hold period -- the time and cost to return that property to retail condition is likely to reduce investor IRR more than just dropping the price and getting it sold below the originally projected sale price.Can you explain the logic behind turning a freshly rehabbed property into a rental -- and even worse, a SHORT-TERM rental?

Rent rates were climbing, applicant quality was rising and, oh, it still is!

This will allow me to create a positive cash flow, get non refundable option consideration and a backend profit or…Use the magic of $1.00 to create an assignment and collect a fee.The home was free and clear and I asked him if I offered all cash what price will he give me.

This has tapered off and cooled down some with rising interest rates but the prices are still hanging up there some, maybe up 30-40% from 2-3 yrs ago.Also, Bristol is home to ESPN HQ.

Should it be taken in to consideration when deciding on a location?

But to try and flip this house at a point when real estate is already heading down involves taking considerable risk.

If they're not, you're asking for problems.The other major consideration if what you'll have in the deal vs. what it's likely to sell for in that market.

Put in there whatever contingencies you want, and if your state dictates it, put monetary consideration (earnest money).