I often hire the contractor that are reliable but bids in the middle of the spread, and I often have leases that probably have room for adjustments, but if my deals works for my own metrics at conservative metrics, I will do it.And slowly the market rose, and then very very steeply we entered a seller's market.

Worst case scenario I can imagine without having it would be something like your tenant burns the house down, maybe somebody dies in the fire, maybe not..but in any event, you file an insurance claim and the first question the adjuster asks you is "did you have a CO?"

It's probably better to work on a 4-6 year timeline too which allows you to adjust after hopefully reaching your goals.

I wouldn't use a number that low for a 3/2 house much less a 10 unit building.How about 3k-6k per door as an estimate then adjust from there after more due diligence.

Yes - if you make 401(k) contributions it will lower your Modified Adjusted Gross Income (MAGI) which is used to calculate the phaseout.2. 

Knowing that will tell you how to adjust your offer to compete better.

You can just dive deeper into the C-, D ,F properties until you reach that return, as the rents do not adjust down nearly as quickly as the property values fall in those areas. 

Those property's NOI would sell for the same cap rate and a cost to cure adjustment would be subtracted below the line.Finally CAP RATE IS OF ABSOLUTELY NO USE AT ALL FOR SFR'S AND SMALL MULTI'S! 

To have an offer accepted, one may need to adjust their Desired Profit; however, it should not be below $20,000, or what one feels is acceptable.

If you are noticing that many investors are buying much higher than what you get using the formula, you will have to adjust it.