I'm curious as to what the best strategies are for identifying potential properties, how to approach the homeowners (letter, door to door, a written offer, etc) and how to write a fair and solid price (I'm thinking full price offer based on comps minus 6% because of no commission but throwing in some cash or creditiing closing costs to the seller to sweeten the deal a little bit. 

You can pay rent and make someone else money or you can buy and make money for yourself. 10 years from now your rents going to be $1,000 higher than it is now, but if you have a mortgage its only going to be slightly higher from tax and insurance increases.

I would much rather buy 160 lots in NW Oregon and build homes for homeowners 👍

The circumstances surrounding it aren't the greatest, as he was essentially screwed by his wife's sister after she agreed to use her credit to get them into a house that they paid down for $400K over 10 years, she didn't pay the down payment, or taxes an insurance, and now she is demanding more than half the $500K equity after saying multiple times in 10 years she wanted nothing in return.

He also recommended for people to call the homeowners before they purchased a note, which we all know is a big no-no.......

I rent out the spare bedrooms, which covers the mortgage, taxes, insurance, and repair reserve.

@Ken NelsonIf I had a dollar for every homeowner I've seen complaining on BP about how they've been lowballed by an appraiser...This is how it goes in the new economy, Ken.

Looking for some reputable insurance providers for my properties in Montgomery AL, please send any referrals and your experience with them.

Here are the detailsOriginal Note:  $48,500, 8% interest, 30 years, secured by first lien on $70k property, typical note terms.Date: 12/9/2009Current Value:  $41,505Payments:  $505.88/month includes $120/month escrow for insurance and property taxes, No payment missed, 3 payments late but not by more than 30 days.Escrow:  -$800 now but payment will be increased for negative balance and increased taxes/insurance.My guess is its worth $55,340 valued at 6%

Average rental is $1,295/mo and monthly tax/insurance is $110.