(Likely resale value on this second duplex is $110)Downside: more financing = more exposure to risk (the loan is 20 yr, first 5 years fixed, then floating.) downside is less cash flow because more goes to debt service.

We weren't willing to take the risk. 

I currently work as a risk analyst within Treasury Management Banking.

deals are like street cars there is one on every corner... you are now wiser as well.. you now know if you want something just because they gave you a few days to respond .. sign the contract ASAP... you always have your due diligence to get out no big risk in signing the counter offer to purchase unless there is no contingencies and your putting up some substantial EM like 20 to 50k or so..

Now, I am particularly interested in learning the basics of real estate investing, in hopes that I can get involved in wholesaling, and make my way up from there.Looking forward to the new knowledge!

This is not being cold, it is simply managing risk. 

Now, at some point there may be some risk w/A properties overbuilding, but we target primarily B/C properties in these good areas, do value add / re-position in infill areas where we can continue to keep rates slightly under market for the demographic we are targeting.  

If you do, get them involved as they are going to know the right pressure points to push for a resolution here.

@Jason Mauldin from the insurance perspective, wood working/staining, etc is high risk.  

Michael, I am wanting to learn more about finding these properties as people talk about auctions and I don't really know what's involved in that or how you find out about them.