This caveat applies if you're converting from your primary to go buy another only when your currently living in the primary when you do the "conversion."

There were major/minor repairs that has taken place in the 3yrs (A/C unit was converted to central heat & air had to be rebuilt twice) among other things.

(not to mention that the land lease is behind and increases every 5 years)Here are my questions (what I am trying to figure out):- is there any way/chance we, being a cooperative, can still direct the responsibility of the interior unit maintenance and repairs to the unit owners without converting to a Condominium (which is not an option due to cost), i.e. make the owners responsible for maintenance and repairs of their specific unit?  

After the last draw the loan converted to a normal commercial loan (5%, 20 year amort).  

@Mas YoshidaWhen I have run our numbers, where we are getting about 1-1.25% of sale price as rent (100K house renting for $1000 - $1250) by the time we take the depreciation, it wipes out all of the 'cash flow' profit, so now taxes currently due.If you are going to leverage with any non recourse loan, I have found they do NOT want to lend on; Pre 1950 properties, houses converted to duplexes (at least older ones), or loans less than 50K which would be a 125K property at 40% down payment. 

Hello BP Members,I'm purchasing a property in the Kansas City area that I'm doing a gut rehab and converting it back to a duplex.

Converting from a 2br over under, to 3br over under with laundry in unit.  

I'm about to convert my Chicago condo to a rental property and move to Fort Lauderdale.

I say “Yep”.When the bank came back with the increase in EMD from $500 to $2500, I asked my agent if that was because they wanted to increase the likelihood that I would not walk.She said that she believed that was the case.So, I believe at this point, ensuring I close is more important than the sales price.Plus I already stated that $17,500 was best and final.So, I countered back at $17,500 with $2500 EMD.It was accepted.My lender couldn’t believe it.After closing, the bank and I discussed financing options.Since it ended up being all my cash for the purchase, we decided on a construction to permanent loan.We got an appraisal value for its as-is condition and it’s ARV.When analyzing the property, I tried to be conservative and used a $120,000 ARV.As-is condition came back at $60,000, and ARV came back at $145,000.Comps were had to come by, as this is a small, rural town and there hadn’t been many homes sold recently.The bank would ultimately lend me up to 75% of the ARV, or $101,000 in 4 draws.The loan would be interest only during the renovation, and convert to a mortgage when completed.The loan is 10 year fixed at 6.25% with a 25 year amortization.Projected costs: Electrical work--$5,300Renovations--$64,000Zoning Hearing for approval for conversion--$1,500Insurance, permits, property taxes, and other holding costs--$2000Total Budget--$73,800Renovation took just under 3 months, with virtually no surprises.The electrician came in at budget, and the renovations had $4,000 in overages.With the purchase price, loan costs, and renovations, I am right at $101,000.I also believe that if I chose to get a new appraisal, it would come in much higher, as since the first one, a few houses in the area have sold and would support a higher value.So here’s a quick run-down on the numbers:All-in price:$101,000Value:$145,000Income:$850/month x 2=$1700Monthly Expenses: Maintenance 10%:$170Capex 10%:$170Vacancy 5%:85Electric:$20Trash:$55Insurance:$100Property Taxes:$185.33Mortgage:$666.27Total:$1451.60Monthly Cashflow--$248.40Money in the deal—ZERO DOLLARSYes, I know that I did not account for property management in my numbers.The reason is that there is industry moving into the area, and higher paying jobs as well.I believe that rents will increase and support property management down the road, if I choose.If that doesn’t happen, well then I’m stuck managing forever or selling it at some point, but it is a risk I am willing to take at this point.Is this deal a home run?

What would you suggest for converting a hesitant lead with an obvious need and desire to get rid of the property in as-is condition.