For example, when they are forced to evict someone, they consider that a one-time event; pay it out of pocket; and don't count that toward their expenses (that wouldn't make them feel good).

That would be counted as one of your up to 10 properties.Hope this helps.

In this situation, though, isn't putting down the full purchase price double counting the $34,500?

The eligibility of a property for a mortgage insured by FHA IS DEPENDENT ON THE TIME THAT HAS ELAPSED BETWEEN THE DATE THE SELLER AQUIRED THE PROPERTY (BASED UPON THE DATE OF SETTLMENT) AND THE DATE OF EXCECUTION OF THE SALES CONTRAT THAT WILL RESULT IN THE FHA MORTGAGE INSURANCE (THE RESALE DATE.)I've heard some people will say that the seasoning can occure once you've recorded an option but don't count on it.

Count me in too!

well you will need to get paid by the buyer the 3K outside of close cuz if the seller sees someone wants to buy it for 13K they may just want to keep it.You can always do a double close - that is the best way to do that - you buy it first and flip.All cash buyer you might make it work to go on the HUD but it should be a full price offer to the seller - so if it is listed for 10K and you want to pocket 3K - if your making more then the realtor that may not be a good thing - and if the buyer offers you 11K and the seller had to take 8K instead of 10K they might all baulk.To many people like to count other people's money - so you might have a hard time with this unless you do a double

I wouldn't count on that, here in NY it can take over a YEAR to process an eviction...there are a lot of factors to consider, things like if the person tried to make even partial payments you can't throw them out, or if they have no where else to go, under some kind of legitimate financial hardship, etc.... it's all a lot of BS in my opinion, it should be simple: if you don't pay, the cops come drag your sorry freeloading butt out and kick you to the curb. too many people in this country always expect a free ride/exception/someone else to pick up the tab

If they do, first thing I do will be to consult with a local attorney regarding the legalities of this.1) On the subject of taxes - I'm well aware of taxes and I didn't count them into any equations for the sake of simplicity :)2) I put my credit on the risk.

Also depends on the area - lower class - middle class etc....In today's world the less down you are willing to take the quicker you can get the lease started - remember to count your holding costs each month as your waiting...

If we count the gains, lets count the losses.