There are good comps to indicate $6,600/mo rent potential, after repair work.

Things have been going relatively well and I have been learning tons as I go through the process of inspections, screening, repairs, tenant management, etc.Well...today I got the first 2 calls that are "trying".

Initial research shows comps are $425K but house, purchased in 2000 is trashed, neglected with high repair costs.

If there are repairs needed to the inside for the end buyer the numbers might not work.

I plan to pull out 80% of the ARV as long as it leaves me with a positive cash flow of at least $100 per month after expenses.My thoughts are I can get some of the benefits of "flipping" (quick cash out) with out the tax repercussions because I am putting it on the market as a rental.The only question I am still researching is if I can write off the "Repair costs" in the same year because its a rental or if I will have to depreciate it over time.

One property had a roof leak and Wells Fargo did a hold back on the funds necessary for the repair but still gave me the loan.

I had someone come yesterday for a repair and she claims that it still isnt hot enough.

The tenant is being less than cooperative about letting repair company into the home.

Individual repairs, rents collected and other expenses were charged against the ‘unit’ that occurred the expense.Property 1: Unit 1 – Cashflow ROI = 15.42%Property 1: Unit 2 – Cashflow ROI = 13.08%Property 2: Unit 1 – Cashflow ROI = 21.80%Property 2: Unit 2 – Cashflow ROI = 3.56%Property 1 I acquired in 2011 and took care of some maintenance as necessary early on, so I’m glad to see they both performed consistently this year.

Many of the buyers spent up to $40k repairing the vacant trashed and vandalized homes.