He advocates Los Angeles investments that typically do NOT cash flow year 1-2/3 (even through year 5 at times) but will lead to high cash flow in later years (and hopefully appreciation as a bonus); these are ideally debt-covering assets (ideally, right, if CapX doesn't slap your year around) with the goal is to buy and hold until the property is producing strong cashflow.Is this really the mindset of LA investors?

when I fly from PDX to Palm Springs I will go down the valley cross the Tehachapi's at the low point south of BAkers field then fly direct 29 palms this takes me over all this terrain and the old roads running in a grid pattern for miles and miles are evident from 8k feet.. odd trailer here and there  ( off the griders)... in my day many folks bought these properties as their first investments.. because they were cheap no credit required and payments were 100 a month or so.. it was a Niche as you say.. now with mid west rentals selling for cheap that has taken some of the first timers out of the land game as they want income producing or think they do. 

If you sell the house quickly, you can do this deal with them several times in a year and now the return on that principle amount for the investors is incredible.  

Your principal paydown on those has to be incredible.

My schedule is incredibly crazy and literally changes every week, but if you have a couple week block I can let you know what dates I have available.

But increasing your interest deduction is incredibly bad.

Stop renting: Purchase an income producing property that I can also live in4.

(never as an employee by the hour, too much liability)That's nice of you, but it sounds incredibly risky to me.

You have asked an incredibly broad question that is almost impossible to answer.

Every 40-acre tract of land was sold in about 18 months - all using seller financing provided by my father.My father had all the property sold and producing a cash flow Before the first payment was due to the poker player.This is an excellent example of how to invest in real estate without the burden of debt.It is also an excellent example of knowing the details before negotiation begins.My father’s situation is also an excellent example of being extremely good at what you do.