I realize not everyone fully understands accounting methods and processes, but here it is in a nut shell.

An inspection of the structure would be in order, untreated water damage can lead to a variety of problems, including staining, warpage, deterioation of pressboard(cabinets and shelving), mold, termites and other critters.Water is broken up into three categories when determining the effects on a structure, and what is needed to be done.

Then, pick the strategy you feel most comfortable with and get education focused on that method specifically.

By understanding a variety of ways of structuring investment deals, you will not only increase your knowledge, but you'll become comfortable crafting deals of your own.In many cases, a mentor will work shoulder to shoulder with you in the field and explain to you why certain strategies may or may not be appropriate in a given situation.

Write down their names and add to you list.then call those potential sellers - and repeat.basically, what your doing is "farming" the area.not only will you build a quality list of potential sellers - but you will learn more about that area and whether it is a great place to buy - or a dump that you need to get away from as quickly as possible.yes; this method takes a little bit longer than buying a list.

It is inexpensive AND provides prima facia proof you are not trying to structure your finances to make yourself judgment proof should your tenants (or their guests) be injured and you are held liable.Others may have a different opinion but $300 a year is protecting far more than just the equity you outlined above.I've been told by a couple different people that you can only be held liable above and beyond your liability coverage to the extent of the equity in the home.I don't know who told you that but it is absolutely not true.

Additional info to my above post that I forgot to add.I'm planning to allow the buyers to claim the tax deductions for the payments they make, taxes, insurance--this will be written up by the attorney....my understanding from title co we present them with our purchase agreement and they send to the atty for the prep of the REC then the final pkg is held by an escrow that collects the payments until the "buy out" of the contract occurs in 2.5 years.Is there a better way to structure this and or what should I be aware of tax wise on this?

Learn how to buy properties by taking over the payments from financially distressed sellers, by using the 'subject to' method.

If so, do you offer the agent a certain fee if they pull comps for you on the homes or do you have them become the "buyer's agent" and structure the deal so they pick up their commission from your seller?

. * I would go to 50% ARV on Rehabs.Ideal CandidateStrong income, Strong Credit, Strong Financial AssetsHands OffIf you have money as collateral in a Commercial bank......They will work with you.They will loan 80% of appraisalIt would be helpful if the bank would refinance these loans once the repairs are completed.Also, it would be helpful if lease options were structured as Fair Market Rent plus more as an option payment.Example:Market Rent = $1000 pmOffer $950 pm plus $200 pm as option payment (subtracted from future purchase price)Future purchase price can be tied to a future appraisal OR a set figure, whichever is higher.Ideal location of homes for tenant buyers - STRONG EMPLOYERS in the area that are recession proof.Consider not giving an option to purchase, but a Contract for Option to Purchase.