re: Real Estate Investing......... New update pg 7

thanks! I need to get more involved over there it sounds like.

I've bought 3 places in Nashville over the last year and a half. I have my normal job and do this on the side. I've done it as an inexact science so far and probably not by the books according to cap rates and others on here. If I followed those rules or suggestions exactly, I'd still have no properties. The ones Imhave are all in good areas of town and I focused on town homes with low HOAs and were priced below the luxury townhouses right next door or right around the corner. What I've found in Nashville is that these places have increased in value a ton since townhouses and condos are not being built in this price range (140-225k now being built and sold for 200k to 300k) in these areas any longer which makes them easy to rent. I'd make sure that you know the market in your area really well and have a pretty good idea through research on how much you can really get in monthly rents before you start. Each time I've done one, I immediately ask myself what the hell am I doing but it gets easier each time.

I've had no trouble renting them myself after doing a tenant screening and background check and I've had all 3 pay on time each month and they never bother me. I go over there once every 3 months to,drop,off air filters and checkup on the places and also have the AC/ heat serviced and have the repair guy call me and give me a report on how everything looks.

Anyone ever "cash out" and start over to limit their exposure? Say finance and only risk down payment and improvements...and once it is paid off - sell it?

I don't have a lot to play with right now ~10k. But, playing to equity game sounds fun. I've always wanted a side business to build on, not really looking to make bank, but grow.