From what I read before and I could be wrong the government want some kind of joint agreement with the investors to where they both benefit on the upside.Kind of like the loss share agreement with loans that the FDIC has sold to other banks.If the government can't run this country there is no way in h*ll I would get into bed with them as in investment partner.The government is like a seller in denial trying to throw crazy idea ideas against the wall and see what sticks.Generally nothing sticks and you have a pile a crap on the floor that has to be cleaned up.The real solution is a painful one.Mark to market and get the pain over with so we can recover as a country.

Income / expenses are per property, and in a rental business you're going to have to show a gain within 4-5 years or you're going to throw up some red flags with the IRS.

All nighters on the lab floor for one hour with no pillow... ahh, yes, work work work work work work work, shut your eyes, more coffee and then work work work work work.

If we could in fact get those numbers, and get say 60%+ utilization, the place would throw off some nice cash.Wife and I would manage it ourselves.

I can always throw them in if it's a sticking point with the buyers.

Dealing with tenants can be a pain, and you're throwing a pretty big task onto your dad's lap.Keep in mind that bad things really do happen when you have tenants in a house.

They can throw off lots of depreciation (non cash expense), which can be as good as cash flow for the investor in a high tax bracket.

I'm sure this is going to sound like I'm just trying to promote my city but I have to throw Vegas out there.

Sharad it depends on the bank itself and what their books look like.In a depressed area already it doesn't make sense to do repairs as the property will be vandalized yet again and the bank will throwing money down and endless hole.If you have say one or two foreclosures on a street in a nice area then yes a bank might do repairs to sell to an owner occupant at a higher price.Depending on the age of the home you can't do just carpet and paint.The bank would need to replace all outdated fixtures,countertops,change layout problems,etc. to get full price.Paint and carpet will not get them close to full value as a buyer coming in will want everything done.It's like a flipped house that has been half way done.The buyer will deduct all the improvements they will have to make for it to work for them in the offer price.There are some banks letting the former homeowners rent in the property.It keeps the property occupied which gets rid of banks dumping for cheap.The bank hopes when they do sell in a few years the market has recovered.

If any members are in my area, lets meet up, throw back a few cold ones and and talk RE