Utilities are OFTEN overlooked so reach out to power, telecom, gas (or go all electric), water, and sewer to make sure you understand what it would take to get separately metered services from the primary house.

PM is a service business and time is very valuable.

Same for 2-years of job/income stability.Tenant Default: 10-20% probability of eviction or early lease termination.Section 8: Class C rents usually meet program requirements, proper screening still recommended.Vacancies: 10-20%, depending on market conditions and tenant screening.Cashflow vs Appreciation: Should cashflow immediately, at the lower end of relative rent & value appreciation.Class D Properties:Tenant Pool: Majority of FICO scores under 560, little to no good tradelines, lots of collections & chargeoffs, but should have no convictions/evictions in last 12 months.

The seller is highly motivated to sell and has already knocked their price down 6% since listing it 4 months ago.

In my area 100 sq ft is about $600/month. 

•Beyond that, flood insurance adds to a buyer’s monthly expenses, which can affect their debt-to-income (DTI) ratio and reduce their overall purchasing power.

I like the idea of using a HELOC for value add projects where you can refi in 12 months to pay back your HELOC.

I also have 401k with 4,500 which I estimate will be 7,000 by the end of the year.Fund 1: 24kFund 2: 180k401k: 7k Right now, I am a renter that pays 900 per month, with a stay at home wife with a child on the way.

But you have to understand you may get monthly cash in your pocket, but you'll have more problems and little appreciation.

In process....stabilization in 12 months Lessons learned?