.----------$2.65m cost$2.7mil sale, with 5% realtor commission means you lose close to $100k on the deal. 

But if the market tanks and you lose your retirement, how can the IRA dictate what is sound interest?

My wife and I are just looking to venture out and purchaseour first home as an investment property to rent out.

You may make out better if they agree and leave instead of a prolonged fight where you stand to lose months of rent, possible damage to your property and little or no recourse. 

You might lose for winning here, John.

As others pointed out, if the market changed and you're projected appreciation is not only gone but goes the other way, you will lose money and it will be a lot.

I've never had much interest in flipping - prefer buy & holds... but I see people losing money left and right due to the fact that they just have cash and want to jump in.

In fact, sometimes, it's a dangerous thing to have money but no knowledge and then you jump in and lose it all.

The right legal strategy can simplify and deal with those concerns though, no matter how many properties or jurisdictions you invest in.When I sit down with clients I will always discuss (1) their personal assets, (2) what their current investments portfolio and other business ventures are, and (3) their future goals.

They are like anyone else they will be fearful that the bottom is not here.. and if there are deals that means someone is losing money in real estate and that will dominate the news..