NAA study:NAA StudyAll of the percentages are in there.

So, you can assign each property a percentage of the total loan.

What percentage of short sales actually get approved by the lender?

It would be B if you calculated your profit as percentage of the final selling price, but that's incorrect way to calculate the profit.

Your agreement could be that you find excellent deals for investment and you receive a percentage of ownership.

Tax assessment was 85K.The arrangement I've made with him is for a percentage of the profits upon the sale of the property.He is promising 20K return on the 35K in 6 months(completion of renos & sale of the property)What do you folks think of this?

If there is a downside to 7a loans, it is the fact that they come with adjustable rates.While don't think you'll have to worry about prime going high enough to impact your loan, you "can" refinance to a fixed loan if need be.You mentioned 4 years in the your response, but you should only have a 3 year prepayment penalty (if that's what you were referring to) and the percentage reduces each year (5/3/1) making it pretty painless to refinance by year 2 or 3.

Sure not a problem.I assumed by MLS most of those properties are bank owned.A large percentage in our MLS's at low price points are pre-foreclosure or bank owned.He would almost be better calling banks and trying to put together a bulk portfolio sale.The reason these asset managers put in these types of requirements with earnest money and non-assignment clauses is they have been burned many times before.An investor buying some course is trying to purchase their first property where as some banks sell tens of thousands of properties a year.They know statistically the type of deal you are trying has a low closing ratio.So they put high earnest money controls and other items in there to weed out these types of purchasers who aren't really purchasers and are just trying to collect a fee.Now don't get me wrong I am not putting down someone trying to do this.On this board if anyone offers advice from experienceand people are trying these long shot strategies and you tell them the reality they get upset.It's easier for these guru's to sell you a course and tell you how EASY it is and collect a check then to go out and do the HARD strategy they are selling.Most people don't have 10,000 or 20,000 to buy a first property but have 500 to 1,000 to buy a course and then maybe another 1,000 laying around.The guru's know this and price accordingly.The hardest part is getting the initial money but once you have that you can start compounding fast.

I aim for at least 10% of the ARV plus another percentage factor based on the difficulty of rehab as explained on my previous post.

They usually just want to get paid a percentage of the monthly rent.