Lets say the closest comp is a 3.5 acre property with a 15k sqft house on it.

One day he and his wife got into it, and she picked up a steak knife and pointed it at him.

Unfortunately the closest meet up I can find has not been active in over a year now and is a couple hour drive to another state.

I'm afraid my first thought was "oh, why not just hang a raw steak around your neck and wander through a wolf-infested forest at night?".

When I called a few days ago to ask whether there were any issues preventing him from executing the deed / closing docs at the closest US Consulate (as we'd discussed previously), he denied having ever received the closing docs, and much worse, now denies having ever signed and returned the sale agreement to me in the first place, and is asking for a large price increase. 

I believe a hard money lender interest-only loan is the closest functional equivalent to this, and their interest-only loans are much different.All guidance is welcome.  

Now if you want to value the NOI that you are buying you will look at the cap rates from buildings/NOI's that are closest to what you are looking at. 

I also proposed doing interest only payments and he said he may be open to that as well.Obviously the owners expenses are missing a lot of things so I ran multiple scenarios below:This assumes Interest Only payments on a $1.1 million note.50% expense ratio (I/O payment) cash flow/month = $1887, COC return = 22.6%45% expense ratio (I/O payment) cash flow/month = $2397, COC return = 28.8%40% expense ratio (I/O payment) cash flow/month = $2906, COC return = 34.9% (I believe this will be the closest to true expenses with cap ex, vacancy, maintenance, management fee (although I will self manage)).35% expense ratio (I/O payment) cash flow/month = $3416, COC return = 41.0%Now assuming 30 year AM on same $1.1 million note:50% expense ratio cash flow/month = $156, COC return = 1.9%45% expense ratio cash flow/month = $666, COC return = 8%40% expense ratio cash flow/month = $1175, COC return = 14.1%35% expense ratio cash flow/month = $1685, COC return = 20.2%The market this is in is a cash flow market with minimal appreciation, so that could definitely come into play in 10 years when I have to refi with a bank, especially if I am doing interest only payments.

And as a California native I can tell you that Katy feels closest to home when I go there.

I'll start with looking up some of the closest vacation rental managers I can find to decide if that would be a good option for me, or if I would be better off learning the management side for myself with long-term rentals.