If in-house, perhaps offer to pay extra to get it expedited (with the terms they're offering, paying an extra $100-200 for the appraisal is still reasonable).I don't think 45 days to close will kill your ability to find REO deals, but it may keep you from getting the "hot" deals that tend to get scooped up in one day.

For rentals, that's all I look for is 4 bedrooms, if it's a 3 bdr I make sure it has a basement so I can add an extra bedroom and bath.

One of them is has an extra kitchen in the daylight basement and a separate entrance, so I could rent out the basement and live in the top floor.

Although, I'd reiterate that a half point is nothing to sneeze at, especially when that means extra dough in your pockets each month.

If you want to cashflow well with section 8 or something like that, then sure, bad areas can work if you're willing to put up with extra hassel for a higher % return, but, for rehab to sell, i personally would pass.

In that case, having the extra insurance would be nice as I would see equity out of the situation.At the end of the day, I can pay an extra $15 a month and cover myself better...

Contrary, I remember reading in an investment book that it may be better to go with a 30 year fixed which would result in a few extra dollar today for investing although I would lose nearly as much at the end of 30 years.Danny – I really liked your suggestion and I would seriously consider it if I did not make so much money in the IT industry.

Nathan - how do I go about calculating the GOI?

If I were to pony up the $10k, that would throw a wrench in my rehab and will end up costing me even more money since I won't be able to hire out for other repairs.No one at closing caught the error, including the realtor who also received an extra $600 broker's fee for "reviewing the documents" with me.

You dont see them because most investors like to use their own figures for them so we leave that up for them to assume into their calculations.