These are homes that sold for $200,000-$250,000 prior to the market collapse.

He seems to insinuate the the US is teetering on the edge of collapse but I do not see that happening with strong historical evidence to back up this belief being that the US government is not at risk of being overthrown, the US economy has a massive productive capacity and is very efficient, and the national debt is all denominated in the US Dollar in which the government is the monopoly supplier of.

Ali Boone,A friend of mine purchased a Condo, at the height of the Market, on the West Coast of Florida.As part of the deal, it came with a tenant with a one year lease.After the year had passed, my friend stopped receiving the "guaranteed" rent.The developer took that tenant and put them in another Condo,and sold that Condo with the same guarantee.My friend had to find another tenant, and because the rental market had collapsed, she had to drop the rent.

Don't get me wrong, I think there's a small chance that the government doesn't pull its head out of its arse and the system as we know it collapses.

He also breaks down the housing market collapse very simply and in an easy to follow kind of way.

Both purchased pre RE collapse as pre-construction with 100% financing (irrelevant)...I see a large disparity with the prices of certain homes Im looking at, and the potential Section 8 Income.

Just based on what you said I would sell now and cash the equity out at the peak of the market.Then take the cash and invest elsewhere where you can stretch that currency to get the most bang for the buck.This would be better than treading water.You might have NOI now but if the market collapses and other owners are having a hard time meeting debt service rents will fall fast and there goes most of your NOI.Some people say people get LUCKY when they sell.For astute investors it is not about being lucky but analyzing the market for cycles.EVERYTHING CYCLES.The only question is how long each cycle will last before changing.For that you look at a bunch of metrics to make the best educated guess.

They won't likely do it, but this puts them on notice that it needs it and their price is laughable. 2) Nobody will buy it at that price and condition so wait until the building collapses and then offer to buy it.

They had a collapsed retaining wall on their property, as well as various drainage issues.

Maybe cracked, or sections of plaster & lath collapsed, or water damaged - but whatever that is, you will have to look first and fix it before putting in the new drywall ceiling.