I am willing to pay for a 3rd party to get me good, quality tenants (on paper.. in reality it's always a toss up, I'm sure).Thanks!

Out in the mid west its a combination its either there is far more houses than people to live in them so prices plumment... or you have inner city issues with what called White flight and the areas turn into ghetto type slums.. its those areas were cheap homes are avalaible and investors who really don't know what they don't know get sucked into buying them thinking that rents will acutally come in on a consistant basis which just is not the reality ..

So while the numbers look "awesome" full, in reality he runs at 75%.

For example say the contractor tells me all the work needed to be done will cost 40,000, but in reality 20,000 is more then enough and the house can still look good and be sold.

He said he was going to get someone to give him some estimates on the things that need to be fixed and I think that should be a good reality check for him.

In reality we need to start small and build our way up to that level of reno'..by affording bigger houses in nicer neighborhoods that warrant the fancy upgrades.

In reality, you need to be aware that you can certainly conduct business in a way that could negate the advantages of the LLC (e.g., comingling (mixing) personal and business funds).  

Let's assume the Land portion of your $225K property is 20% of the property value, leaving $180K as the Building value for depreciation purposes (in reality, you would use the land valuation on your tax assessment to determine the split).  

Rarely does that turn into reality and the other 90% plus are delusional.The Tycoon person I am sure after the show aired likely received many offers at less equity than 50%.Some of these groups go on the show with no intention of making a deal with a shark.

@Paul TimminsAdding them to my collection and I certainly plan on making that a reality.