At this point, I stop bleeding and start cash flowing.In 5 years, I sell the property for $130,000. ($110,000 ARV + ~3.4% appreciation/year: I like to peg appreciation roughly to inflation, that way, if it appreciates more, it's a nice surprise).

He is bleeding taxes every year, maybe will take less where it can work.

The best motivation I have ever had was riding that bleeding edge of actual starvation and homelessness.

And NO lender puts the loan proceeds directly into your account.. the funds are sent through an escrow either an attorney state escrow or an escrow in a state were the title and escrow company handles the funds. these things are just out there to scam those who are not really familar with how HML or private lending works.Glad you posted you wont lose your 1.5 %   once they get that in the door then they start hammering you for more money and more money until they bleed you dry and they never fund because they are NOT REAL .. thinks of all those scammers sitting in Bangladesh or other off shore areas.

The economy tanks, and now nobody is vacationing, so you have tons of vacancy and you're bleeding cash.

It's sad that they try to bleed those who are trying to purchase vacant properties. 

Being able to afford losses is like saying you don't care if your arm is bleeding, and you can't stop it...because you have lots of band-aids. 

Its like a marriage and everyone has to have a clearly defined role with accountability mechanisms in place s well as a stop gap in the event the do not perform.2.

Given that those unfortunate cannot "fight back" due to their circumstances,they have to accept the investor's demands of cutting their own throats to bleed profits.

Looking at flipping a property-  My contingency if the property doesn't sell quickly enough is to move into it to help stop the bleeding, however, it seems many lenders will not allow you to live in the flip.