Also, you didnt mention any financing costs, was this built with cash or do you roll that into your cost of construction?

I think it just benefits current owners. our replacement cost variability just went up a lot for the next 4 years.

Even if they don't realize how much money you're costing them now, someone will tell them eventually and I don't think your canned wholesaling response is going to do much to repair the damage. 

Multiple people including myself have tried to caution him of the the true costs but he's been repeatedly dismissive and has made it clear we give him motivation and he wants to prove us all wrong (whatever that means). 

Houses out here cost average $1.3M and rent for $4,000 per month. 

@Ben Syzek with $50k, you're probably looking at a property with a total cost (purchase price + reno) around $250k.

House hacking is a great way to build wealth while keeping your living costs low.

So if I do a good analysis of the property (including all the costs) and the property generates monthly CF with a DSCR above 1.1, I would be removing a big risk because the numbers add up.

It will cost less than $150,000 and will need moderate renovation work.

•This additional income can help offset costs and increase your total reported income for future pre-approvals.5.