The math is simple.

So, my math is based on my goal.

Be careful to do your homework in FL before buying.

ALL of our other creditor's decided that we were now a risk, and JACKED UP OUR APR'S from what was a decent 5%-10% at the most, current (then) APR, to upwards of 25%-29% on ALL of our cards....You do the math....along with that..some of our creditors even REDUCED OUR LINES OF CREDIT...further making it IMPOSSIBLE to refinance a current property to fund another deal, THEN THE MARKET WENT SOUTH...and REAL TROUBLE CAME that wasn't due to my negligence, but was due to a MARKET on Wall Street that had gone CRAZY...due to their own internal greed, etc....It's sooo hard to judge the masses, when your living above the clouds, to even mind or care to listen even, to the finest of details that occur in most of the lives of us little people, below the clouds.Luck will have nothing to do with me getting my family out of this mess, but my faith in God, and my hope in that most people are good and decent, and willing to help, will.Tom K., I hope, sincerely, that you never have to go through what most of my clients and family and friends are going through (who are responsible individuals becoming the scape goats in this society of late)...but if you do, God forbit, I truely hopt that you will have a network of friends and family that will not judge you, and some folks do, and will support you, and hopefully, you'll know a banker/investor/broker, someone...who will at least give you the time of day, to listen to your "story".

I personally just don't think it's as easy as picking up a book or going to a few classes to become a successful investor, I think you do your homework and then you go out and actually start investing and learn along the way.

Listed it for 1.63 in Feb, then dropped it to 1.575.Finally rented it out for 7500 per month.The math listed in the link suggests he is upside down in his cash flow.There are nice pics exterior and interior on the second link.http://housingdoom.com/2009/06/03/geithner-cant-unload-his-house-either/http://www.zillow.com/homedetails/photos/33049632_zpid/

I like it because it "shows me the math" and how this works. it hit home with me. apologies to anyone who may have seen this already, and if you haven't yet, please consider passing it along..

A note with a 9% rate will have a lower discount than a note with a 6% rate.Setting the risk concern aside, here's how the math works.You have a $270K note at 6% with a 30 year term.

Ill start with my current situation and mindsetIm 22, I bought my first investment property 10 months ago.A duplex in my hometown (spartanburg, sc) for 108,000I put 27,xxx down, and I currently owe 69k on it.So far I have been lucky, having 100% occupancy and only 300$ in repairs.It has generated a little over 250 dollars a month (I lose 95 a month having it managed by a company)What I have been doing is putting all of the profit towards the principle, plus adding any where from 500-1200 additional to the principal each month.My theory on this plan was hammer it, get it paid off, then buy another, do the same except id have all of the flow from the already payed off duplex on top of my additional principal payment.I was looking at having my current duplex paid off in about 3 years and 2-5 months (depending on occupancy) Now....I have done the math several times, and tried slight changes to my original line of thought and I get the same outcome every time.....It will take forever to get big returns paying them off in full one at a time.I think I was being overly safe.Rental property is what I want to focus on.I can see eventually getting into commercial property as well (still rental)Id like for some experienced people to advise me on different ways to go about this.Something id like some criticism on is what I've been thinking about latelt:Lower end properties.Im not sure if I could get a loan on 22k (for a duplex) but im going to find outBut from what I have been seing, if you can keep people in them, the yields are much better than what im getting on my 108000 investment (which if both sides are rented brings in 1100 dollars a month)The area that it is in is populated....its just....lower end property as stated aboveIm not sure what comes into play when you get in that area, and if that's where I should be looking to move to with my investments but that's why im asking(In theory I could put 25% down on a lot more 20k duplexes than 108000 duplexes, and the mortgage would be next to nothing if I could get a loan, one unit would cover the insurance and mortgage payment with ease)Wow, long first post, =PThanks in advance

An investor does need to do his homework and cultivate relationships with banks or mortgage brokers for long term financing.