The same reason also explains why so many “investors” were considered large contributors to the last market down cycle that spread beyond real estate and affected the financial markets as well.Nevertheless, I will share my opinion of one huge mistake many of the “investors/wholesalers/flippers” make when conducting investment analysis:The omission of personal time and personal expenses.

For the most part, banks are listing REOs at market value down here unless we are talking about really messed up houses needed extensive repair where pics showing 2x4s propping up the roof and black mold infestation etc...so...we are not talking about where the listed value REFLECTING the distress nature of the property and people are bidding up to and beyond that.I remember in 2006 when the market was hot it was like that multiple offers on first day and bidding wars, I was talking to a realtor on a property and explaining my offered value based on several neighbor comps which are exact same houses in the same community with same layout and square footage basically same house did not justify that price and she said "oh no, you can't use these comps, this one is 1 month old, in today's market comps are useless if more than 1 week, next week this house go up another 15% in price!"

If either is unsuitable, nothing else matters.This research is conducted prior to any communication with the seller.

Right or wrong, should a government employee take an interest, there may be huge costs involved in defending your actions.I do not recommend anyone play in the real estate finance world without extensive knowledge.

@Tia Carr,It is the opinion of this old investor you are taking too many short cuts and assuming too much.Of concern to me, are you prepared to close on each of the 7 properties as you said you would do in writing.I would recommend you stay local, conduct much more thorough research, make a plan and work your plan.

The organization also conducts seminars and extended classes in local areas.

Either way, it all still has to the same process, which provides for the same remedies.This is also why as a second lien, it is prudent to conduct due diligence on the first lien to see if there would be a violation.

@Lubasha White I am just curious who is conducting the seminar and how much does it cost?

So far I've been able to put together a small portfolio and am hoping to expand it extensively in the next year and a half.

I'm only sharing what I know from extensive reading and listening.