Otherwise you're just bass fishing.

Are the floors soft wood that can be finished?

The 20% might include your costs of sale to the VA borrower, don't know if soft costs would be considered, maybe some will chime in on that, but I'm sure that if your profit is the limitation.

Uhhhhhh....Signing contracts :D I'm going to get some sleep b'cause I want to get up in 3 hours and go see if I can hook some big Bass!

He raised the rent on the middle unit--they moved and he had a lengthy vacancy in a soft rental market. the rental loss would have paid for 2 ac units to be installed.Now he is looking at $1100 for mold remediation and about $750 for the roof if not more--plus the additional drywall of the hallway and inside of a bedroom closet plus the original ceiling job in the livingroom.Oh..and more fun..the angry tenant called in code enforcement.

For Apartments --depending on type of rehab-you always buy at lower price --however--if you plan to get financing --you do projections and add cost -- to purchase price --lender can include the rehab costs -- However, renovations to building or structral repairs --called Improvements --such that it will increas value of property and of course higher rent -- than it is different --it is deffered maintenance - and have to consider based on components -- you also need to talk to an accountnt --for depreciation consideration --you need to buy a soft ware to anlayze -- using what if senerios -- for different assumptions -- IRR is the best -- always leverage and refinance to maximum available at the time --after rehab or major renovations are done and rent increases or cash flow increases --I have done this for several Hotel loans ---similar principal apply --I use simple spread sheet to do five year proforma projections and improvements are added to loan --Lender keep money in escrow- called reserve for improvemnets -- fixed amount based on Recommendation in an Engineering Report.

And soft inquiries, when you or a company requests your credit w/ out you applying for anything have no affect on your score wha so ever.

When the market turned soft here in San Antonio and investors werent fighting for deals, I saw the opportunity in the market place and raised $200,000 private cash for my own flips.

They were the one's saying we would have a soft landing.

Great question...What I didn't explain is that the 40% that was taken off the top of your ARV represented the following...Costing costs in both directionsHolding costs Soft costs (insurance, utilities, etc.)The investors PROFIT.What I also didn't talk about is the approach if you are wholesaing a deal to a landlord.