Good Day Bigger Pockets,It seems that I reached a road block.

The purchase price is $626k, with one unit delivered vacant, unit two currently paying $800 a month, and unit three paying $700 a month.My question pertains to the inspection report I have received, which states that the roof has around 5 years left, and I need to replace the drain iron plumbing to the street, which is estimated to be a $10k job.

Float the wall frame off brick, top plate to bottom plate, throw some fire blocks in. 

They will take the floor out down to the footing, rework all the drains in the building, install drain tile on the inside of the foundation that drains to a sump.

Also, the nature of the neighborhood can change dramatically block by block. 

We like that the system asks the prescreening questions and handles the scheduling of the showings, although I have had the very same people with very same contact info re-answer the questions until they pass and Showmojo didn't block them...but they have made blocking people who don't meet the criteria way easier now.

Plenty of deals still available in Buffalo, just know your neighborhoods and even streets as they change block by block.Best of luck with your new ventures! 

. $15,000 down the drain that could have been used towards the down payment on another property.

have 3 kids though, little drains on my account ;) lol...  

BUT.... as I know there is a very large development of a Train Station HUB just a few blocks away, I am using my intellect and know that it will eventually increase my rents as the demand for the area increases.Eventually, 10 years from now, and that Train station hub is opened, I will reap the reward of approximately $4k per year or $383 per month increase in cash flow.You cannot do this kind of analysis with a Cash on Cash Return.You need the Internal Rate of Return.When you want to talk to the big boys, the Investment Bankers, the Commercial Lenders, your own Partners, sophisticated investors, etc., you need to understand IRR, how it works and why the one shot CoCR is just not correct.When you really understand these calculations.... the all kinds of scenarios can be modeled.When you understand all kinds of scenarios, you can begin to predict the future with accuracy as you use your God Given Intellect.