The new Dodd-Frank go into effect on Jan 10, 2014 and the rules apply to financing for owner occupant buyers, not commercial or investor to investor transactions.

A rule of investing that I have learned from a well-known investor is "Thou shalt maintain control".Again, I am not saying that these funds and people who invest in them have not made money.

Usually appraisers have a rule where any comp can't be more than 20% bigger or smaller than the subject property.Also, age can make a difference in regards to the surrounding neighborhood.For example, in Grant Park, a Victorian neighborhood in Atlanta, there are a few brick houses, that were built on infill lots in the 50's or 60's.

It would be rare for a lender to allow a sale for less than what is owed, but if they do they will need to release the lien and they may not be able to seek a judgment for remaining amounts due if they failed to attempt to get the full amount from the sale.The deal illustrated by Chris would be a great deal, but probably won't happen as the purchase price is less than the mortgage, a 150K home needing 20K in repairs would be about 70% of 130K as the rule of thumb or about 90-92K.

Local jurisdictions may have rules on this type of thing.

Where the money comes from isn't directly related to the 70% rule.The 70% rule says that if your purchase price plus rehab cost is 70% of the eventually selling price (i.e., ARV), you use hard money to fund the bulk of the costs, and you hold the property for six months then your profit will be about 15% of ARV.

As to the marketing of legal services, I would think that company would have some rules.

I don't want to buy when everyone else is, so I am turning my attention to different ventures, I will still look, but will have the freedom to stick to certain parameters without worrying.I can't justify owning over renting down here, which my wife isn't exactly thrilled about, the numbers for OO (owner occupied) or NOO (non owner occupied) just don't make sense.Andrew

Your state may have more restrictive rules so you’d be wise to contact a good resident lending attorney.The question about pre-signing a DIL has been asked a hundred times here so you might do a search.

The good news, however, is that the SEC is thinking about changing the rules so that average Joes and Janes can participate.