i also have heard that it limits you on what you can do with investing.example. you can't negotiate a person to a below market value deal because it may be considered stealing or unethical. etc.

That would probably be my limit of going to higher offer on 70k.

My limited experience with short sales showed me that banks can hold out for quite some time in order to get what they want!

Finance and leverage are the most important tools in this business and your limiting your options.For my personal investment strategy I pass on any home that requires flood insurance.

In my current market housing inventory is limited and the builders are going crazy so large renovations or flips are out for now.

I have cash to use, great credit, but minimal income, limiting me to under 80k properties mainly.

Hopefully you have limited your exposure in the deal.  

Jennifer,Yes, you will be required to file a tax return due to the amount of income you earned regardless of what the net income may be.You should file it regardless of profit or loss to ensure you start the statute of limitations for audit.

., investors) tend to be more sophisticated in Atlanta than in other places, so marketing to landlords tends to be less fruitful (in my limited experience) than other forms of marketing in that area.My recommendation is to focus your marketing on homeowners with equity, whether distressed or not, and try to find locations where prices are trending up faster than homeowners recognize (so you can take advantage of some quick appreciation during a short hold period).

Putting a renter in the home will limit the potential buyer pool.