@Alex Yaro  I personally believe your cost are understated.. first off very common in these markets and price points to have turn over yearly or almost every year.. and you will have a lease fee. 

b) Your expenses seem understated to me.  

If they can get the velocity of money to increase, producing price inflation, I think they'll understate the CPI so they don't have to raise interest rates.  

Also the back deck needs to be treated, drainage lines fixed, and some minor landscaping (which I will do myself.The more I've dug into the number I agree the rehab is understated.

I really can't understate the importance of finding out what the tenants intentions and plans are.

All owners should be concerned about you going into receivership under state laws!

I'd be sure those rental income numbers are correct and not understated

., legal liability for themortgage debt) under State law, and the servicer may not necessarily have agreed to add the successor in interest as obligor on the mortgage loan.I think this is why attorneys exist.

My figures going back to 1986 for SF were closer to 7% as of 2012 ish so the growth maybe overstated at 15.5% but 7% may be understated slightly.

Also, you have insurance, tax, loan servicing as well as equity being established that will put you into a judicial foreclosure under state laws.