Gross profit is interesting because it appears to just be the difference in his acquisition and sales price and fails to take into account the other obvious cost of running that business which includes, again according to him, the cost of over 26,000 letter print, mail, post, and the cost of the lists needed to create a mailer of that size. 

Similarly, earnest money wasn’t included as part of the contract.The potential buyer’s suggestion to switch to his contract, which includes a fee to me, seems to be because he plans to sell the property to one of his investors.

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

You need to include how much it would cost you to live somewhere else in your figures.

 $9k/$72500=12.4% Rate of return (not including any closing costs which would reduce this return).  

They want to put 75% leverage including interest only 3-4 year term loans on their acquisitions. $600M total potential acquisitions.

This is because the main house often includes value drivers that ADUs do not, such as larger living spaces and more comprehensive amenities.

Multifamily doesn't need any more pressure/demand since cap rates can really get low when too many people pile in, but I have to say that commercial real estate (including large MF) and other types of passive investing (mobile home parks, storage, etc.) can really make like much easier.

They even show a 16th victim and notate that the authorities are not sure so they did not include it. 

It is VERY important for all of us including BP to constantly raise the bar in our industry and stand guard at the door of our wallets so we all can literally have bigger pockets!