Great neighborhood, recently rehabbed, happy with the numbers on paper....but, the inspection came back today with a little surprise.There's standing water in the crawlspace.

Just make sure you know where to buy first and do not just jump into a property that looks good on paper! 

How have these risks been quantified so we can put it down on paper before we get into the project.

High paying jobs attract employees with expendable income.

It's great on paper and works in a lot of markets, but rarely does MF work as a house hack in Denver.

I have been told it looks good on paper (good cash on cash, cap rate, etc) but it doesn't produce a lot of cash flow. 

I've seen a ton of amazing deals on paper, but when I visit I notice the house is held together with duct tape and it turns out they have no occupancy permit to be a triplex or whatever.3) The fact that it's been on for 6 weeks does tell you for some reason investors in the area are not interested - because in my experience most multi-units have investors crawling all over them on the listing day, but that could be a variety of reasons and honestly I've seen many similar deals in the slopes over the years - only way to know for sure is go see it. 

Yes, the cash expended is a little more than people that enjoy leveraging would suggest, but for me its a what allows me to sleep at night.I have also set up Lines of credit against a few buildings that are fully paid off in the event that I need to tap the equity in the future.

Here’s a deal in WACO that i want to place an offer:CLASS - C/C+Units - 14 + duplex = 16Mix - 2 BED 1 Bath Rents = 575 averageCap rate 9.2 % actual (Or So they say)Previous owners bought it for $545k List price = $680KAll bills paid communityTotal operating expenses -$55kNOI = $62KCash flow is around $2.4K / month100% occupied with rent roll6mins from a a good university Numbers check out on paper, value add opportunity is also there.

But they sold their paper investments and put it into rentals and had enough income to live off of.