Here is my point regarding this, if you have extra capital, why pay down a mortgage that is costing you around 4% when you as an investor have the ability (or should have) to invest that same capital with a yield of much greater than 4%!

Here is an example of what we were able to do with a local lender in PHX: -- Bought six condo's at a total all-in cost of ~$500k in Nov. 2012 -- Refinanced with a blanket portfolio loan in Dec. 2012 using 70% of the appraised value ($600k) --5% fixed rate for 10 years, 15 year amortization, closing costs rolled into the loan Though we were happy with the ability to lump all the properties into 1 mortgage and the rate; the 15 amoritization really hurts the cashflow...but I feel this is common with local banks that hold the paper.

Investigate your ability to build on that lot (zoning, utilities, flood plain, etc).

If you have read any articles as the decades move on water will become more and more of a valuable resource and costs will continue to rise.My clients that buy larger buildings want the water separately metered or the ability to do it.

Sounds great, but politicians wouldn't let it happen, as it devolves power away from them (which they derive from their ability to dispense goodies to favored groups, and to effectively buy votes and maintain theri entrenched positions).

As folks get older, their ability to drive decreases.

Whenever I'm wholesaling a great deal to a buyer, especially one that I have no relationship with, they must show me they have the ability to close.1.

A practical necessity no doubt, but a constraint that could limit your ability to review the required volume of deals and quickly pounce on a killer opportunity.

What also excites me about the lower end homes though is the ability to purchase with cash, with less than a 20% down payment on most of the 4-unit properties I've come across in/around EP.Came across one quadplex property for 370k, each unit renting at 1200.

If they are carrying a bunch of debt on credit report or having a divorce bankruptcy could be in their future and it could get messy.You need to look at the profile like a potential lender and asses risk and ability to pay.