But my realtor said they are going to do special assessment on this property and HOA runs badly. ( We requested HOA reserve document but no answers. ) We wanted to wait to see how special assessment going and close. 

Principal Paydown: $2,441 Total Gain: $58,317 ROI: 360.32% (on $16,185 upfront investment: 3.5% down payment of $8,715 + 3% closing costs of $7,470).Year 2 Analysis Cash Flow: -$752 Home Appreciation: $6,120 Principal Paydown: $2,617 Total Gain: $7,985 ROI: 49.34%.Year 3 Analysis Cash Flow: -$375 Home Appreciation: $6,242 Principal Paydown: $2,806 Total Gain: $8,674 ROI: 53.59%.Year 4 Analysis Cash Flow: $9 Home Appreciation: $6,367 Principal Paydown: $3,009 Total Gain: $9,386 ROI: 57.99%.Based on these numbers, you’d have negative cash flow for the first three years and only break even in Year 4, assuming a 2.5% annual rent increase.Adjusted Scenario see second picture: Landlord Covers Gas and WaterIn the second scenario, I assumed the landlord would pay for gas and water at $300/month while maintaining the same 2% home appreciation rate.

Not sure how close you are to the partner but you may want to work with someone else for these kinds of rehab projects in the future. 

Stay focused and close on the property, do not let an out of the blue crime destroy a future REI and cash flow. 

Not even close.. 

I have a deal that I am supposed to close on in 2 days. 

In other words, two financing agreements "wrapped" together.But the goal here would be for the 2nd buyer to close all-cash (to skip the financing process), would that still work? 

There are lots of listings currently under contract, I guess the buyers are not going to show up for closing next week.. 

The dealflow from brokers is always there, but the juice vs squeeze conundrum is in full force because if you dont manage this closely, you will start soaking up tons of bandwidth and payroll with underwriting several deals for only 1 in 5-10 to actually close.

If you can rent 3 units for $2,000 you are close to breakeven.On the plus side, you will have a highly attractive asset and several decades without much cost of capex and repairs.