Option Pricing and Investment Strategies" by Richard M Bookstaber ,was the book that really turned on the light bulb for me.For a deep math understanding, though a tough book and required reading when we were on the street, "Options, Futures, and Other Derivative Securities" by John Hull.

The lord will heap back upon them the full weight of their overpriced properties and cast them into a sea of short sales and bankruptcy.A new age will dawn.

Close the sale by getting the customer to take action.I've been blinded by the light a few times. @ the end of the day I've found that alot of the text book real estate investing "education" i get on books and CD's from the seminar's Ive attended doesn't apply in real life.

I also look at a cap rate but place most of my weight on % based on downpayment bc that's my only "actual " loss on future investment potential.

Likewise if the H2O heater is more than 8-10 years old.You also don't mention replacing any light fixtures, plumbing fixtures or cabinets.

My experience is in single family residential and light commercial.

Don't fear the tenants or let them control you.I bought some buildings in a nice area but the buildings were older.The units were on the verge of turning into a bad area or staying a good one.I banded together with other landlords and we got the bad element out.We have Glocks,shotguns and everything else.I don't care who it is if they come on my property they better not try anything.We have made police reports of suspicious people,tenants trying to steal cable,power,etc.Once the scum know they have a light shining on them they crawl away to another area to go hide under some other rocks.So do not be intimidated.My place is cleaned up real well now.

There are days when you'll have a light-bulb moment, a feeling of {{SIGH} "Hey!

Grading and excavating will be big $$ cost.Don't go into anything too lightly and yes it takes a LONG time and LOTS of research to properly develop a property.If you were building a new house (where utilities are already ran) you will be getting 120-140 sf cost from general contractor.

You have to keep in mind the exit values as the rehab costs are affected by the values of the homes.For instance, on one of my $1.2M exit values, I would consider $100k to be average to light in rehab.I just did a $50k rehab on a $550k exit and it was a regular, average rehab.Based on your averages, you would have estimated this as a tear down.In summary, don't rely on averages and dig into details concerning rehab estimates.