When he or she closes the deal you’ll receive a “finder’s fee†for the project, which puts cash in your pocket and gives you practical, real-world real estate investing experience. •Wholesaling – This is a step up from bird dogging.

I would have atleast an additional 15-20% available for the unknows that are bound to come up.4 In addition to all these costs I would have another 5-10% of the whole project available.

I am usually buying cash, sometimes paying cash for rehab then doing a refi once I get a renter for positive cashflow then move on to the next project.

We're just about to finish up our 1st rehab project.

I plan on selling the house I'm living in now and moving on to a new project.

thanks, Dave Dave, I emailed the FDIC a few months ago with the same question this is what I got back Subject: RE: Loan Loss Reserves and Real Estate owned on a banks balance sheet Jeff, I am sorry for the long delay in getting back to you, but you caught me on vacation and I have had a very tight deadline on a project since I got back.

You can project cash flows into the future and determine what you think a property's IRR will be.

This is probably not the project to begin your career with, tho you may be able to joint venture with someone more experienced.

I would just make absolutely certain you have a market for your projected rental rate.

On the other end of the spectrum, when rehab projects are not under the gun, my typical day is I wake up promptly at the crack of noon.