Talk with a CPA but if this is your property, then I have no doubt you will qualify as a RE ProIn regards to Cost Segregation, this applies to your "non structural" items like carpets, appliances, floors, hardware packages, etc.

@Ryan VanDuyne the important item for a FHA loan is your intent to occupy the home as your primary residence.

They should be taking care of all of the big-ticket functional items - roof, hvac, water-heaters, plumbing, electrical, flooring, sinks, tubs. etc.If they are just throwing down paint and carpet, then you'll probably have a high capex in the next 5 years.James

@David Thompson great article, though i do have a few comments in regards to some of your items:3) When will I get my original investment back and what is the holding period?

UNLESS, on the contract, likes clause #9 or so... it says all items that are excluded from the sale, if tenants are not included, then it's the current owners to get them out before you close on the property.

On a side note, items such as electrical and plumbing must be up to code so those items will be inspected.

I have heard about buying truck loads of liquidation items.....

If you know your square footage of walls and floors, then itemizing becomes easier and easier the more you do it.

I haven't had it appraised yet, but I'm guessing there is potentially 20-40K in equity.This is my first house and my inspector missed a few items, some of which have been corrected.

Also, we purchased an additional warranty for 3 items, so if any of the 9 items break after the 1 year, it will be covered.