With my CFO clients, I generally assume a 35% operating expense margin (which excludes vacancy and mortgage payments) to start with and adjust from there.

I've been reading more about subject to and here's what I've learned:-Good for sellers who are off market-Have low to no equity-Have a mortgage with a low interest rate (less than 5%)-Be absentee or out of state (vacant property, or have a tenant)The buyer would then take over the mortgage payments, and have the seller sign the deed over to the buyer.

The agreement is contingent upon the buyer securing financing which I was not able to do and have provided a denial letter.The seller is requesting money for damages because the appraisal came in at the purchase price but needed a heat installed in the kitchen which the seller agreed to install (Not in writing).

I can make the down payments in the smaller market on cash-flowing deals, but these bigger markets require 40-70k to make a deal the conventional way, and I just don't have that to invest.

Payments stay lower, cashflow better and it'll boost your balance sheet not to mention lower risk when things go awry. 

The tenant hasn’t been the greatest: late payment with not always paying late fees, multiple complaints from the neighbors, changing phone numbers, ect .

What about the security deposit? 

You would still save more money 9 out of 10 times living with your parents but being able to leverage a low down payment loan will allow you to get a very high ROI on relatively safe investment. 

With no points to the lender, the rate would be 9.99% with a principal and interest payment of $2165.

Depending on why you are evicting the tenant, Illinois has 3 different notice periods: Five Day Notice of Eviction The Five Day notice is only used for non-payment of rent.