Then I can pay the township construction officer to do a formal inspection of the house to get a detailed list of exactly what needs to be done and then hopefully negotiate with him to have a grace period or a reduction in the fine to address them after the closing date.

Of course this meeting is also a qualification period where we make sure that the individual actually has money to invest, is motivated to buy, and is crystal clear on our process. 

After helping other people buying and selling house for a while, he jumped right into the market and bought 3 houses in a short period of time.

I visit periodically to visit my parents and scout properties.

I've been able to extend my personal umbrella to my rentals under the same home owner's policy which keeps things reasonably priced.  

It will take longer to get a tenant in the property than with a non-Sec 8 tenant, because there is about a 2-week period to complete the inspection and the "Rent Reasonableness" check.  

Hi Billy, The BP Podcasts are full of examples of people who survived the latest downturn (2008), and I've always found it interesting to hear the stories of investors from that period.

You'll have a little recapture tax for the depreciation during the rental period though.

The second house was listed on a auction website for a short period of time.Third house also hit a auction site but only for one day. 

Did some more research and I learned that:Carryover losses extend indefinitely until final sale (and can be transferred from property to property if a 1031 is used).