Then, each of the next five or six years (five years of time is usually spread across six tax years) you take a portion of the costs for depreciation and reduce your basis by that same amount.Now, under some circumstances, fair market value does come into play.

I still own a real estate company overseas, I used to own a bank, construction company, developments, over 50 properties,(which I've shown him paperwork on) all owned free and clear.

I have several times bought negative cashflow situations because of the property was something i could change into positive cashflow quickly through development or change.

Developers can't get the apartments/dorms up fast enough.

Their "value" will be based on circumstances favorable to them, i.e lowest value possible.

Most of them were just letting me know there was no property to speak of, it was only an empty lot.You can market empty lots to builders and developers.

You’ll have to develop your own perspective, but I feel that you have to establish the foundational basics before you go.

Here's a horror story: I got 50-lots through tax lien foreclosure (year 1997-2002), was going to develop them myself when some investors bought up all the other delinquent liens (1500 liens), and formed an HOA to develop the land . . . it worked out okay at first, I made a good profit selling some finished lots to home-builders, but due to the HOA mismanagement and the economy, I have about $1-million in HOA liens on my lots.

I think if you are investing in real estate, you can still be looking for a quick buck, but you understand things can take some time to develop. compound interest is very powerful and if you are not in it for the long term, you will likely not be too impressedPeople are too emotional and probably log into thier stock market account too often and play off of those emotions. i am no different, but my stock market preference is dollar cost average for the long term. i do this through index funds and mostly retirement accounts. the stock market is at all time highs and while it had a huge crash, most people got scared away. as the stock market returned, people statring talking more about it. as warren buffet says and this goes for any investment. people want to buy clothes, cars, ect.

It also has a hug lot that is attractive for subdivision or future development.