Others are responsible with their budget and can stretch a dollar.If they are excellent renters, I would offer them the option to renew and let them make the choice.

We're willing to live almost anywhere in the greater Sacramento area based on what we can afford, provided of course that the property is in a decent neighborhood that has a good chance of attracting responsible tenants.As for budget, I believe we could get a conventional loan for properties up to $600k, but my strong preference is to find a distressed property (or seller!)

My first impression is that your numbers in the current economic climate seem a little rosy.I also have friends that are builders and I try to stay in touch with them on costs as we mostly do "to the studs" renovations when we buy a place. 

How much can you budget for furnishings and all kitchen items and creature comforts for the ones you want to MTR.If you have a vacant 6-unit, you have great possibilities to try all strategies.

I think having a balanced budget would be ideal where you allocate money into buying another property and money set aside for renovations.

Most 1-4 unit real estate investors are using DSCR loans right now for any buy and holds while flippers lean on higher leverage bridge/fix and flip loan options with higher interest rates.

In most areas in San Diego, that is condos, town houses, etcWith that budget, I would be leery of recommending San Diego.

After adding an extra bedroom and bathroom and rehabbing the house, I was well over budget.

@Justin Landesman's comments are critical about not funding without being on title and/or having a written contract about the distribution of profits.How much do you think the rehab budget is?

To get started with fix and flips, first define your criteria, including location, property type, and budget.