I was bit upset about this whole thing, but it might be a better idea to let her go as most of you suggested.

So if you have access to a good amount of capital and search your markets and if you can leverage.. you can achieve 35% cash on cash fairly easily and actually do much better.

You'll have to put a portion they consider reasonable that makes the HOA partially whole since they need to pay expenses that they couldn't otherwise pay due to that delinquent owner.

Down here in California its a country station, but on Saturday morning he has a whole episode about new american funding and he talks about the "Don Frank Act", and how new american funding can get you 3 1/4 interest rate on a new or refinanced mortgage with no closing costs.

Although I do agree with them that you need to get out there and start talking with people first hand a whole lot more than what you are doing, I do not think that you should give up looking for houses online.And again there is no substitute for getting out there and getting the job done, but I can tell you that you can and will find good deals online.

My buisness plan- Should I assume that he wants to help with the whole business venture or just wholesaling?

I naturally stayed close contact with him to see how things were going, then I drove to where he lived (4 hours away) to actually have a look at things, mainly b/c he wanted me to lend him the money to fix up a place.He got a home for $30k, comps in the area were going for 80k, he said, and he made the deal as quickly as possible because his whole mentality was getting things as done as fast as lightning.

If you do the math thats a whole lot more than commissions on a 127k sale.

There are scams out there - a whole industry that has sprung up to prey on ambitious newby investors, so you have to be careful.

As I look at the various REOs in a given area, I find REOs listed by a whole host of different Realtors.