The sooner you start, the sooner you get paid.Hope this helps - let me know if you have additional questions.Ned, please correct me if I'm wrong.Thanks.

As Dion said, be very costly and send you to jail using other's money.Guys (Dave and Dion) your institutional trading is correct and all well and good, but didn't seem at all that the OP was headed this way but taken in this direction.

My first 8-10 deals I intend to spend A LOT of time reviewing possible property's to ensure that I'm doing everything correct and so I can begin to grow the best reputation possible with my investors.

You are correct that anything over 4 units is generally considered a commercial property which will shift you to the commercial lending side.

So, I'm trying to interpret his perspective - is he right that I would do better to sit on my hands and do very little investing in the next 400-500 days, or give it away, or am I correct that if I can find the right buyer, I could get some down and a good note, perhaps collateralized, and the risk would simply be that he burns my trees on the way out if I have to foreclose.

Am I assuming correctly here, or is the seller able to retain some of the equity?

I guess I'm not correct on calling it a Lonnie because right now I am in need of capital so I would sell it for cash only unless a buyer has a DP that cashes me out.

If the local market corrects or you need to dump quick you will be overleveraged with no principal pay down.How much extra cash flow are you getting with the interest only loans per month per property??

I've been waiting 5 weeks for my f'd up local bank BCB to give me a GFE on a refi they hold the note on, after dealing with f'd up PNC and their refusal to correct an absurdly defective appraisal (sq ft under by 20%).

However I am pretty sure what I have said is correct and I am sure someone will chime in and verify it.