I personally don't like this transaction, but everyone has a different risk tolerance. if you can aggressively raise rents and the market appreciates you are fine.For your assumptions the red flags that I'm seeing:0% vacancy should be higher unless your a PM and are experienced, even still.0% for management fees, are you a property manager?

Landlords may be looking at totally different market rates as the market will bear, administrators here are looking at thousands of inspected and qualified units which may give a different inventory assumption.

For illustration purposes if there's a block of identical homes of the same vintage and one was just renovated and you intend on renovating the same vintage home to the same specs (and was of same pre-renovation condition), you can make reasonable assumptions.

Some agents include the assumption option in public or private remarks.I also use property radar to search loan info on local properties.Do you have a VA loan entitlement available and gap funds ?

I am currently researching and putting together some assumptions and trying to keep it on the conservative side and not base it on some of the inflated numbers that are published.

I will need to read up on Montana law for this, but my assumption is I don't need to give 30-days notice if the tenant breeched the contract making it void due to their breaking the agreement by interfering with the quiet enjoyment of neighboring tenants/ property owners. 

And you need to be very conservative in your underwriting and assumptions for your first deal.

@Tara Unruh one of the first things want to educate yourselves on is Property Classes.Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.So, when investing in areas they don’t really know, investors should research the different property Class submarkets.

Just reading between the lines of your post, I’m going to make some assumptions, so forgive me if I’m way off…It sounds like you’ve grown up being mentored by your dad in his brand of real estate, so this is all you can see.

@Scott Mac finding the decisionmaker is hard, getting them a cash payoff under the 30 days is what they want, no they aren't going to allow an assumption that takes 80-100 days to an individual investor on an owner occupied loan.