It's a trapped equity, not cash flow.The case study you presented is an awful one because of the horrible return.Here is the property I bought in april:  purchase 400k, dp175k (low risk for now), total rent 36k/year.My positive cash flow after mortgage and tax is 10.3% after mortage and property tax.  

Everyone wants the easy, simple answer to how they get Foreclosed properties, but the truth is, it takes time, energy, research, networking, studying, money for advertising/gas/marketing materials, etc., and most importantly, persistence! 

I did do research on Airdna and discovered that there weren't many properties similar to mine as far as location and proximity to town, the university and attractions. 

Study the subject and how it benefits the Seller.

Maybe you need to study the market and see if that's the case?

I did have to save money and there was a measure of self-education, but I wouldn't really consider it a struggle.once I got started, I discovered that my real struggle was trying to overcome my limiting beliefs.

There are countless articles, forum threads, podcasts, books, etc. that cover those issues (and most are free)--so I'd recommend studying up on those resources.Good luck out there!

The only vehicles which cannot lose face value are CD's, online FDIC savings accounts (Ally, Discover, etc) and TIPS purchased from the US Treasury Directly (TreasuryDirect.gov).

Study the market.

Study the market.