But that assumption of liability doesn't mean you're off the hook as you can have a loss and then you have recourse against the seller of that obligation.Purchasing an illegally originated note means it can be worthless.

This has allowed me to pre-rent out my house with higher than normal rent and no loss time.

I discounted that number by 10% for vacancy and collection loss to produce a net number of $22,680$22,680 - $10,479 (adjusted 2013 expenses) = $12,201 NOIPutting $25,000 down on the full asking price leaves a mortgage of $74,500; financed over 20 years at 6% = $6405 annual debt service.Cash on Cash Return = 23.18%Assume $25,000 down payment plus $20,000 for closing costs and repairs:Cash on Cash Return = 12.88 %2014 Annualized:Expenses for Jan & Feb of 2014 totalled $10,000.

We meet a local restaurant just to meet and talk, no charge except for food/drinks.

He wound up fixing up the house and selling it for a loss, never again to be a "landlord".

In one county the estimated loss in value direct due to this legislation is estimated to be $1 billion by the county officials.Some people who do not have mortgages and therefore not required to carry flood insurance might elect to "self insure" ie not carry any flood insurance and put for any flood damages out of pocket.Most of the investors that I have talked to have said that they will stay away from flood zone properties and try to sell the ones they own now as soon as possible before the full force of the insurance premiums kick in.But as a counterpoint one investor told me that he would be seeking out flood zone properties with the idea of buying them at extremely low prices, all cash, with no insurance and rent them out for the cashflow.

Have a casualty loss totaling the place, see your tax guy.

No loss of life, no dismemberment, no volcanoes.

There is a whole lot of Kim's in this conversation :) Yea I wanted to hedge my risk against no shows by doing a group showing that way if someone dosen't show up its not a total loss.

Food for thought.