Not criticizing but your brother would benefit from a realistic baseline test video and not something set up improperly in a test facility.

There are more good books on income property but I would start there.Because it's a mixed used property with two retail spaces reading and understanding the terms of those existing commercial leases will be critical to determining the value of this property.

As in any city it is critical to get to understand the makeup of each community to determine if your exit strategy matches the demographics of the community.

I could see a buyer signing that if they have no personal guarantee,the loan is non-recourse,and they didn't hardly put any money down.If they put a bunch of money down I don't see a buyer signing it.Especially where if the buyer does a bunch of work to improve the value of a property and the lender just takes it back.I think having the foreclosure process protection is critical for buyers and predatory lenders.There are bad buyers and lenders out there so you need a close to level playing field.

Seems you might be able to grab a bit more appreciation if you could move into the 3/2 style homes.My feel is the 2nd bath is critical for home owners but renters aren't accustomed to that luxury and therefore it's tough to get enough of a rent boost to justify the increased purchase expenditure... curious what your market says.

Please offer any insight/criticism that you deem helpful!

The formula I use to sell deal in hours is this:ARV x .70 - Repairs = wholesale priceIt is critical to nail the ARV down solid, here's the formula for that:3 comparable sales within a one mile radius that closed within 90 days and are within 200 sqft of the subject Make sure they are LIKE property.

Jimmy, after following your discussion with JOn (who is a master with numbers) I don't see a deal here...And more importantly it doesn't appear that the seller is motivated... which is critical for you to get a good deal.I am sure there are other deals that would provide a better return than this one.Best of luck!

I don't mean to sound critical, but if you have limited resources, why are you looking at buying out of market from where you live?

This is critical as it will help you in your negotiations with the note seller and the process helps sellers realize how notes are actually priced.