You may need to safeguard the collateral, make emergency repairs, pay for legal notices and filings.

The property is a duplex with an ARV (after repair value) of $700,000, making it a strong deal.However, I want to ensure I’m not overlooking any potential red flags.

As I currently live in NJ and plan to buy another house hack in the coming months, I want to think further ahead as well. 

As a parent of four children and wanting to help them have a head started in life, I just don’t want them to be taken advantage of by some gold digger.

But we already get deductions for maintenance, repairs, and improvements.

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

I agree with the majority that this electronic currency or “digital currency” is just too new to have a very educated opinion but of course you can do your due diligence to be ahead for that matter.

It is definitely not as easy as it was a couple years ago and we have difficult times ahead - but that doesn't mean I think it's a good idea for everyone to stop investing passively and run to SPY or single family homes.  

My research guided me to form an LLC to hold the properties during repair/rehab (I am buying properties that need major fixing) and move them to another LLC where I will be collecting rent. 

For as much as attorney's charge, they should be able to answer this question.The deposit can be used for cleaning, repairs, and unpaid charges.