Yes, you need to show bank statements (or some other financial institution like a brokerage account) showing sufficient cash reserves. 401K accounts can be used, too, though there is a discount factor to account for taxes and penalties.

I deal with a lot of over seas investors and it always comes down to how good your team is.

These factors all work to drive price way, way, down.. especially in areas particularly susceptible to boom/bust cycles (see CA,NV,AZ,FL).The majority of the problem in this "mini-boom" is again supply, except this time it is the artificially LOW supply of homes.

Your ability to buy soon depends on a lot of factors.

Hopefully he factored that in.

Based on the rents of $550 per month and a 25% factor (maybe high) for management, vacancy, etc., and a cap rate of 10%, I come out with a fully loaded ARV of $396K which seems absurd considering the neighborhood and the other apartments in the area.

How often do you adjust your insurance based on these factors, annually?

Ideally I sell the house, albeit at a loss, and start over fresh in my hometown.

The Bureau’s Chief, Richard Cordray, says he is carefully weighing all factors that may undermine the housing recovery by making it more difficult for consumers to obtain credit.

Especially on your first few flips.)Oh, and don't forget to factor in holding costs and the cost of financing.