Your example with the drug companies is a poor one, however I will humor you by saying if the the government produced its own drugs to compete with the private sector, it would drive private drug companies out of business because the government could afford to sell drugs at a loss and still continue to operate.

Poorer people are happy to send their kids to cheaper schools that do not have bells and whistles but produce kids who do well academically and go to good colleges.

I am assuming banks have insurance on these properties, but I do not know what this insurance covers.I told agent about this and she said shes going to look into it, she said a guy found a dead body in one of their REOs recently.

I would suggest that you require able-bodied people to work or do something for 20 hours, make sure that children are enrolled in school if required by law, verify 5 years of landlord history, require a period of employment and and have these requirements be independent of income.

They go to the producer at risk.

(i.e. signs, marketing, posting ads online, stuffing envelopes, running paperwork around for signatures) and can have someone else do that while we focus on the $ producing activities like lead generation, appointments, negotiations.

I downloaded the spreadsheet on the deal analysis forum, and was pleased to see that it produced results quite close to my own calculations (and both have me making money :).

Also, when appraising multi-family income producing property, they will factor in replacement cost and income.The key thing here is that the data is usually much more current and the appraisal is specifically on the subject home.Bottom line....the assessor's value is a guideline, an appraised value is what the lender will depend on and you will need to run your own numbers to see if it will work for an investment for you!

If the bank goes after the borrower with the most first then that would likely be me as I have 5 income producing leases, income producing notes as well as guaranteed income.

Contract is contingent on seller producing leases, rent rolls and expenses.