Good location, some rooms are in decent shape, Craftsman-style details throughout.

Recently found some beautiful austere Victorian styled townhomes and ONE dilpapidated apartment building which has great potential.

Of course, regardless of which answer you give (unless you disagree with both your statements), it contradicts your assertion that the 50% rule is a good one for *all* investors...Btw, Mike, I'm not trying to be attacking...I actually really like your style of investing and your perspective on a lot of topics (I've learned a lot by reading your posts)...I just think you're taking a bit too dogmatic approach on this topic, and am actually enjoying the debate

I am a beginner and have no investments yet, but starting out with the same structure that I explained above.In summary, CopyBook style doesnt help in the long run.

The surrounding homes that are similar in style are worth about 200k on the low end.

Decide for yourself what kind of lifestyle it is you want to lead and what style of investing will serve you the best.

The choice is yours and it really depends on your style of investing.

Not my style,but nevertheless, may 'fit' others.

For example, insurance doesn't usually cover lead paint, mold, asbestos, and other environmental factors.Should I use the cash flow for more investments?

Shoot me a pm for details.Whatever you decide to do, take time to get free information to see what style of investing works for you.