Surprised since it flooded in June 2021, but it seemed like he "learned" by trying to get rid of it ASAP after June and didn't expect another major northeast storm to cause even worse damage before the house closes in 2 weeks.I too agree with you that the probable good +cash flow will not be worth the headaches/possible loses down the road in the long run. 

You can buy houses with credit cards, but have to convert the money into cash, which costs many percentage points (unless you have a special offer from the specific CC), but once you convert to cash, you lose the points associated with spending the money.However, I do run all of my rehab projects through credit cards, and frequently have tens of thousands of dollars running through those little puppies.

He is probably a better bet b/c he isn't going to lose that compared to someone who has a job today, and doesn't tomorrow.  

Losing money forever isn't a business model and probably attaches bells to someone's IRS returns.

We must do right by the customer, even if it means a lower commission, or even worse: Losing the deal. 

But if the levels are above EPA it sounds like you lose.

The only thing you lose is mortgage interest decoction, but if your business is profitable, you can claim the 20% pass through tax deduction. it is about a wash on taxes, but you are not stuck paying all that interest.

But $20k wont go far in today's RE world.And don't be in such as hurry.....there will be plenty of other 'deals' like this...there are probably hundreds going by as we speak.....You can lose money in this business just as fast as you can make it......

I think that kind of looks like you're after with just getting your feet wet but not losing money.

On a heavily appreciated primary home, you'll lose a bunch of depreciation into the new much higher valued investment property.