The net self-sufficiency rental income is calculated by using the appraiser's estimate of fair market rent from all units, including the unit the borrower chooses for occupancy, and subtracting the greater of [1] the appraiser's estimate for vacancies and maintenance, or [2] 25% of fair market rent.

Remember to subtract your projected profit from the offer, as well.

If you have owned the property for less than a year and it does not appear on your tax return, you take 75% of the gross monthly rents and then subtract your monthly PITIA (Principle, Interest, Taxes, Insurance, & Association Dues).

I typically subtract 3%, of the ARV.Realtor Fees: What is the commission you are willing to pay your listing agent (unless you are the listing agent) and the buyer's agent.

Hi @Wes HarringtonWhen @Jeff B. said "divide the P+I into the NOI and that = DSCR"P is principalI is interestSo P+I is your monthly mortgage payment (without taxes and insurance because those numbers will go into your expenses instead)NOI = Net Operating Income.You get NOI by taking your gross(total) rents for the year and subtracting out your expenses.DSCR is Debt Service Coverage Ratio. 

It could be that they didn't have the contract to back the deposit out of the down payment or someone just forgot to subtract it when they were doing the data entry. 

For example, purchase something for $310k then subtract 110k profit from relinquished property and then minus another $35k I put into deal so net new mortgage $165k.In this example would I pay capital gains on the $5k difference between old mortgage amount of $170k and the new mortgage amount of $165k?

Subtracting monthly costs of $14k for mortgage payment, $6k for taxes and insurance, $4k for property manager, $2k for vacancy (5% of the monthly rent), and another $2k for repairs, gives me $12k / month.

If you can only find homes that are a little better or a little worse, you then add or subtract a bit. 

Which is somewhat of a funny notation to me as a salary would be considered a business  expense and the profit is the net amount after all expense are subtracted from the gross income.