I was in the position of considering renting to someone with a pittie.  

If you rented this home and it was putting $3K positive cashflow yearly in your pocket, the returns would be 3/4=7%.  

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.

It may make sense to save a bit more and invest from a position of power.Keep in mind most helocs are adjustable.

On the positive side, the price points and rent-to-price ratios in Detroit make it a compelling option compared to California.

But I said at the time that one day I’ll be in a position to take advantage of dropping prices, and I think this is the time.

Little things like these can help you stand out and bring in better reviews!

I can provide him with an online log in so he can review the books from his office.

I would suggest shopping it around a little more until you find a lender that offers reasonable terms and has a positive reputation.

ThxSachinHi Sachin, if you're looking for the best investment opportunities in terms of positive cash flow, they're not going to come from new builds.