I am big fan of a barbell strategy in times like this. 80 to 90 percent of your money in something safe that produces income, the rest in the most leveraged, speculative investment.

Bottom line: know your market and educate the bank/investor youre working with.

Enjoy those types of deals while you can and get educated for short sales to hit over there.

Remember, landlords want the vacancy filled so it's also in their best interest to get the lease signed 3 days prior...you backing out is a bad thing for them, even with a holding deposit they're likely to lose money.You still have leverage.

No more welfare, unemployment, minimum wage, social security or medicare (for people who are under 50 now), medicaid, Section 8, EPA, department of education, department of energy, OSHA, etc.

This is doing it the right way, not over leveraging yourself into a hole if something bad happens.

:roll: Was that a 'cash on the table' offer or was it mortgaged or leveraged in any way?

I am not saying that it will not, but I doubt even the most educated economist can predict that "Today is the day, we are at bottom".

The education you get just getting your license is invaluable.

Jon,I'm trying to follow your math.But, I'm not getting a loan on the property I'm wishing to purchase.I'm getting a loan on my current house which is assessed at 350K and has a zero balance.I don't qualify for a HELOC or a home equity loan because of my credit score so I can only get an FHA loan.The minimum FHA loan I can draw against my home is 80K at 6%Of that 80K...60K would go towards purchasing an investment property....20k would be kept in a separate account to cover unforeseen expenses.I do appreciate the education.