We also follow a version of the Jon Burley model with our lease options which he has been teaching in Phoenix for 20+ years.We have thought through several scenarios that could create issues.

I referenced it here as my inspirational view of "oh, so that's how savvy investors can make it" - though I'm not expecting this kind of return out of the gate, and I apologize if I mislead.Credit for the below example goes to Brian Murray's book (I pulled this example from the online version available as a sample on Amazon since I only have the audio book):Bank Financing: $750K @ 5%Seller Financing: $150K @ 5%Cash: $100KTotal: $1MGross Revenue: $200K/yearExpenses: $100K/yearNOI: $100K/yearDebt Service: $63K/year$37K/$100K = 37% Cash-on-Cash-Return with a 2.7 year payback period.Principal paydown first 5 years = ~$103K or $20K/yearRevised NOI = $37K + $20K or a 57% annual return.Doing the math, at 5 years, the value creation is $9.54 for each $1 invested.

But those who take the time and energy into making the home better than they found it, who truly understands what an “upgrade” is, ”the process of replacing a something, with a newer version of Itself.”  

I recommend finding a Realtor that specailizes in investing as they will have access to off market properties that often have better numbers but also come with some version of an issue, which is why they are not on the MLS.I would keep an eye on the market and network with investors through local meet ups. 

What you end up with is people marketing properties that they can't sell, or purchased at a sheriffs auction using a deposit and they are now in search of someone to fund the back half of the purchase plus pay them a fee (there are other bad versions of wholesalers out there but that's just a few) the transactions with wholesalers are often frustrating as there's a lot of errant information including, undisclosed liens and claims of ownership.

If you don't then you aren't giving everyone a best version of yourself.

They both invest based on good data and great teams and they let those average deals that the "smart' investors pass on, make them a lot of money.The difference between them and the early version of me (as an investor) is who we surround ourselves with and the data we use.  

I still use QB 99 (not even the pro version).

I listened to the audio version, and it took me awhile to get through even at 1.5x speed lol.

In fact, the GSE actually issued for a short time their version of sub-prime loans which had a funny name to them like prime less or not quite prime or something like that.