The lower under 70% the better obviously, but 70% is a good number where even if it does go up to 75% you have that wiggle room built-in there!

Hey Patrick,That's awesome — —sounds like you and your wife have built an impressive portfolio!

Too many new investors blindly copy due diligence checklists from the internet, assign equal importance to each item and blow up deals over nothing.

Downpayment isn't straight deductible as it is just built into the basis of the property since it is part of what you pay for the property.

Markets built on the old wither, and new are built for the new. 

We know no more about him than you have told us, but just the list of items you mention give me pause - "He's been trying to get into real estate for 6 1/2 years."  

The new homes will be mostly built in the burbs, and I expect as we move forward outside of many city limits or in smaller cities where the builders can control the narrative with less regulations, less inspections, less red tape, lower requirements.Due to the number of people moving though, we'll see some urban infill as well I expect. 

Purchase price: $1,435,000 Cash invested: $3,010,600 Sale price: $8,400,000 We identified multiple lots around the light rail system in WA, where we felt that properties are going toincrease in value significantly, these lots were re-zoned from SFH to multi-family (MUR35mostly), we have developed, permitted and starting to build: 8849 Midvale Ave N, Seattle – Two combined lots, zoned for multifamily where we built 12 townhomes

., 1.2%" and adjust based on big ticket items like property tax.

Purchase price: $1,435,000 Cash invested: $3,010,600 Sale price: $8,400,000 We identified multiple lots around the light rail system in WA, where we felt that properties are going toincrease in value significantly, these lots were re-zoned from SFH to multi-family (MUR35mostly), we have developed, permitted and starting to build: 8849 Midvale Ave N, Seattle – Two combined lots, zoned for multifamily where we built 12 townhomes 23007 55th Ave W, Mountlake Terrace – 7 townhouses in a walking distance from thelight rail station, in planning stages with the city of Mountlake Terrace, WA