Re: maybe you’re correct… - Posted by Bud Branstetter
Posted by Bud Branstetter on July 28, 2001 at 21:13:26:
I remember a Joe Kaiser comment about getting into rentals. His comment was that you should have 20K in reserve. Subject to are not much more than easier rentals. The problem becomes when you spend the down payment. If you did like the PT says and keep 2 or 3 payments in a contingency fund administered by a third party you would not have as many problems that the less solvent investor has. Illiquidity is always a problem to a real estate investor and many other businesses. Because it is not addressed properly does not mean you want to lose control. The PT clause could be added to contracts or other landtrusts. Are you willing to keep several payments in the hands of at third party collection?