What screwed it up was the housing prices droping and all the sudden the homes they foreclosed on weren't bringing enough at auction to cover the loan and they couldn't get it from the mortgagee because they wised up and filed bankruptcy.

Even then in today's market, it's still hard.One thing I would have done differently from when I went full time is setting up enough passive income streams to cover my living and business expenses each month.

Also, and again sorry, I'm not much of a shopper--the existing shelf was covered with an oak kind of contact paper.

In this situation the bank made out on the foreclosure-they have covered their unpaid mortgage and legal costs with excess; however this is not the norm these days.

Is the monthly PITI able to be covered in lease option/owner financing with a minimum of $200 bucks cash flow (more is better obviously).3.

I plan on doing my own management so I'm looking at the 40% number as I don't want to miss a decent deal.I can see $100/door for SFH & duplexes but I think that 4's are a little different as in this property, as long as 2 units are rented that will cover all monthly expenses-PITI, water and sewer.

We moved to florida from western NC and bought a house while still trying to sell our old house in NC...Well, it isnt selling.We have been paying both mortgages for several months now, and are bleeding money every month.It is too expensive, we cannot afford to continue doing this.So, we are entertaining lease options.We got an offer of 900 month rent, with 3500 down on 18month term.Our mortgage is 1600 a month as we paid 240K for the house only a couple of years ago.So this will not nearly cover our monthly expenses.

I know refinancing will cost a lot more, but I will make 450 in rent (covering expenses) over the mortgage and will have gotten 40k out of it in advance.

If you are in a negative cash flow position, find a way to earn some income to cover it, When the market does recover (which it will), you can then find equity in some of your rentals and sell them to pay off the LOC you over-borrowed from.

Mark,What the management company can (or is supposed to) do should be covered in your written agreement with them.