Cerberus took on the risk of taking the company private and packaging it for resale.

It is also a matter of whether you increase or decrease the lender's risk when they invest in you and your new business by writing the loan.

Both are valid business models but entail different risks.

In my area in Florida it is difficult to wholesale if it is not at least a 40% discount.I think this is the best time to wholesale from a risk standpoint, but the hardest time in the last 7 years that I have been wholesaling.I used to be able to sell a property in 2 hours, now you need at least a week to let the market see your house.

I'm just not seeing much risk, but maybe I'm missing something.

However, many multi units are "heated" where SFH usually are NOT, putting some added risk on ME!

Why not spread your risk out to a couple condo complexes in the area rather than 25 in just one association?

So, she suggested that I submit another offer the beginning of February, but run the risk of the bank rejecting it.

What is happening is that banks are no longer loaning (creating) that additional money, the reserve requirement is still 10% (just an example, I'm not sure what it is exactly) but that is the minimum requirement, the banks don't have to lend (create) that additional $900 as they don't want to take on additional risk right now (very rational). 3 years ago, the $700 billion in TARP funds would have added trillions to the money supply (inflation), currently, the banks took that money and actually decreased the money supply with it by writing off bad debts or purchasing other beaten down banks at a discount.

Any home here over 10 years old is at great risk of the AC system going out.