For example if you have multiple properties in a llc and one under performs and you have financial issue and that property gets foreclosed on then that liability will carry into the other producing properties.

Hi,I regularly attend the DC REIA meeting in Bowie, MD.

Thanks for clarity...will definitley do that in future purchase.Stupid question: Does it cost anything to sign a contract like this, or do they just get their regular commision?

What matters is that before you jump into renovating a property, take a realistic view at the amount of increased cash flow a repair will likely produce based upon investment in time, effort and the monies required.

Check the landlord tenant laws for your state and/or city. f'rinstance: In Nebraska, you can charge no more than 1/4 of month's rent amount on top of the 1 month equivalent regular security deposit.

A commercial (income producing) property that is producing NO INCOME does not have as much value as you appear to be assigning to it.

Profit, profit and profit.In sufficient amount and percentage, produced quickly enough.I specialize in lower priced, $25K-$55K purchase price, FMV of $55K-$90K resale.

So I'm guessing have an alternate method of selling in which price doesn't matter.I've read that finding rent to own buyers is a good strategy rather than regular renters.

When you sell your option or otherwise recognize the profit that profit goes into the IRA.The key being that with an option you can get the same leverage effect without needing the IRA to take out a loan.Any contract that you can later sell for more could produce the same results.John Corey

Which is how much income the property produces compared to the debt service.