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Honolulu, More precisly Kalihi. Most would consider it the ghetto, homes are only $450k-550k. Personally I love it. I can see the ocean from the bedroom window. And its an area that needs positive influence.

I don't know how close you are to closing, but some of these questions you should have been asking when you first put your offer in.

Can you rent? You need to take a look at the Association Documents. They will list everything you can not due. Your purchase agreeement should have been subject to reviewal of these documents.

Does 6% seem reasonable? it sounds ok, but I don't know what your credit score is, or what your income is. This is something that is a case by case basis, everyone is different.

No comparable rents... This could mean a lot of things. You would know the area better than we would. Most places are rentable, sometimes you have to be more creative in how you advertise.

Does your line of credit increase? if you have a line of credit, and you make a payment you have more available. But if you just finance a new property, generally it will be harder to get the next loan for a little while. Many lenders won't let you purchase more than 3 properties in a year, especially if you are just starting out.

As for applying for new credit cards... I would hope your Realtor, or mortgage broker told you to WAIT UNTIL YOU CLOSE BEFORE YOU APPLY FOR ANY NEW CREDIT! I have seen deals fall apart because the person bought a truck, or got a new credit card.. This does affect you credit score, and ltv. SO WAIT UNTIL YOU CLOSE!

Right now the market is starting to slowing down here like much of the country, but it is still stronger than most. The unemployment rate is currently very low, but the average home is selling for 640k. My sister in law just bought a "starter" townhome for $310, with $400/mo association. No matter where you are, there are always opportunities. Sometimes is is a matter of being able to see what others don't.

Being that I am not from California, I am am not sure how the tax records are. I know is some states there is a classification that is Registered Vacant. Your best bet with this is to get ahold of the county tax property tax records department and simply ask them.

As far as marketing, The tax records should have the owners mailing address, and you can direct mail, or you can research a little further and find most phone numbers.

As far as an 800 Number... Necessary NO, Great to have.. Absolutely. I use ArchTelecom. They say it is 30/mo plus usage, but I have never been charged the monthly, only usage. It has many features and I would much prefer to give that out.. you can also make it seamlessly transfer to you cell phone.. Ie. if you would like to talk to a representative press 2, they will then be transfered.

You can get 100% financing up to 4 units.. Maybe your market is different, but I have not seen a 4 unit property that would cashflow with 100% financing in years. For your own sake, make sure it does cashflow, and that you have reserves. A break even property can be a lot of out of pocket expense when you have a vacancy, much less 4. I have seen 4plexs go from fully rented to fully vacant in a matter of only a couple months.

I understand what a condo-tel is. I didn't realize that is what this was. But where does the 50-55k come in? Its a lease back, so is that the normal income it would recieve by being rented out as a hotel room?

so is this like extreme home makeover where they Lease the property for $X.? And since it is a short term lease, this is also not taxable. Correct?

It doesn't matter how big he is, if this is not disclosed on the HUD it is called mortgage Fraud. And with your comment about after closing that certainly raises a red flag for me.

call me crazy, but how is it that you are able to give that much cash back after closing. Would this be on the HUD?

I wouldn't get wrapped up in commissions or companies. If I was starting out, I would look for the best agents in the area and go work for one of them. Greed can often ruin a career. I think if you work for an agent who is already a Top Producer, you may not get the highest pay out possible, but you so many other things out of it, it would be well worth it. For example, you get a steady stream of business, which keeps food on the table, and allows you to start building your clientel. If you do it right, they are going to remember you, not that you were on team such n such. Second, it will help you get into markets that can be harder to get into, like the luxury market. Third you will have a personal mentor, who you can learn from. You will have various questions from day to day, but you will also see the wider spectrum from working with that team.

Jason Popkin