That would be guaranteed no matter what the actual profit margin ended up being. 

With a duplex you have a little more of a safety margin. 

An institution running on razor thin margins = no wiggle room to chip away at.

I'm debating about pricing at the 40%-50% margin and taking part of that money to add back to my DGI and part to invest back into future RE.Out of curiosity, what is your asset class split? 

Perhaps this isn’t a good house to hold onto long since the margins are so slim.

You're just at the 1% rule, so there's no margin for the additional expense.

Specifically I am looking for a duplex/quadplex property and I am finding my margins to be very tight.  

I take an honest look at what the building can support, give an extra margin of safety, and take out about that much. 

Reverse Wholesaling works like this: Get in front of sellersGet pictures of the propertyLet the seller know you will run the deal by your partner and have an offer in 24 hoursRun the deal past your legit buyer whom you have a relationship withLet them tell you what they would payGo back to the seller and see if you can get the deal done building in some margin for yourselfA lot of people talk about "bird-dogging" which is basically just passing leads to an end buyer.

As a senior associate at a "Big Dog" group, I recognize that the market dictates the margins.