Posted by Bud Branstetter on October 18, 1998 at 10:59:33:
In my part of the country the middle class is the working class. Javier’s question was for an amateur to do investing. The control of real estate without using any money for long term is more difficult. Short term is not a problem. While an amateur can make money in most markets it is adviseable to stay out of certain area. Low end area are just harder to do L/O because of good tenant availability. High end L/O are more difficult too. Just not as many people in most markets can affort the $250K and up house. As you probably know note buyer do decline notes in certain low end areas. I think notes are great too but there is a lot of competition to make great amounts on flipping notes. Volume determines the note brokers surviveability.
An amateur just isn’t prepared for the high end. A couple of weeks ago I posted a possible L/O on a $540K property. I felt only one of the responses was positive or constructive. I’ll still advise amateurs to avoid low end areas.