I know the term safe is a relatively subjective term when it comes to real estate but I am talking more along the line of what neighborhood/area can one stand to make a fairly significant gain with a 15-25K cosmetic rehab/update?

Due to the insurance increase and high taxation rents no longer cover all expenses...WHAT TO DO?

My down payment & closing costs are going to come from a HELOC on my personal residence, which will cover anywhere between 10-20%.

We would like to get some kind of loan to finish the restoration and continue renting the house at a higher price to cover the mortgage but it is still in probate.

There's also a whole chapter covering this subject in Stephen Fishman's "Every Landlord's Tax Deduction Guide," Chapter 6, segmented depreciation.I felt the same exact way as you until someone had a deep discussion with me.

You will get some cash from the upfront money the end buyer puts ups and the may cover some if not all the closing costs.Also, this is an equity share set up, so, you would get a share of future appreciation, if any.I have a couple of small projects I would like to offer in the Partner section, but, want to know if this is a decent return for just using some of your cash and your credit?

You know, it's so funny I've spent the past few weeks with my nose in books about this very subject.

If the first has given proper notification then the IRS will have a 120 day redemption period on the house also, but they rarely redeem and you would get your money back if they do.The bankruptcy could stop everything.All of this advice is subject to your state's laws.

From there... well, I haven't made it that far, but theoretically you just send them an offer on the subject property.

you can also load up on the contingencies in your contracts that protects your earnest money - like "this contract is subject to....finding a buyer...if not, earnest money will be returned...within 30 days..."