In your case, the negative 75% return in the first year, and the 100% gain in the second, are averaged to give 12.5%.

Has anyone else gone through this exercise and can shed some light on the positive and negative aspects of the different approaches?

Lastly, do you have any connections in Northeast Pennsylvania with investors who work with beginners or who you think would be interested sharing and/or helping me learn some concepts that will give me a stronger foundation to build my investing on.Thanks for you time, Bryson DePalma

Ideally- would love to be in C+ or better, cash flow is not a priority but also don’t want to be negative.  

That would put me at negative cashflow of -$750.

@Paul FlorezI would myself be hesitant to refi and go negative with my cash flow.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

I will definitely be applying everything you mentioned.When you price down during off season does it positively or negatively affect your monthly earnings ? 

in year one it has a negative 10% annualized return and then in year two it says 7%. 

@Wendy JiangBe honest and say no as mold testing is typically only done when there are visual signs of mold and has never been any signs or complaints.There are many factors outside of mold that can contribute to breathing problems.I would offer that if you wish I can order a hygienist to come to teat for toxic mold - but if it’s found to be negative the costs for the testing would be at your expense.