*Finance Expenses$50,000 Purchase Pricex 65% LTV$32,500 First Loan@ 4.75% (5/30-year Mortgage)$233/month Principal, Interest, Taxes & Insurance (PITI)*Operating Expenses:$800/month Proposed Rentx 75% (to discount for vacancies, utilities, etc.)$600/month "Discounted Rent"$600 Discounted Rent-$233 Mortgage Payment (PITI)-$235 HOA Dues$132/month Positive Cash Flow

You can test the market with proposed design boards and pics.

So, with the fudged numbers and percent allocated for expense the numbers work out and the property cashflows with the proposed loan terms.

After deliberating I decided to have the property appraised prior to making improvements and figured id get the appraisers opinion rather my proposed upgrades would increase the properties value.

Let the contractor know that you want a thorough inspection and a "worse case senario" repair proposal Of course the water in the basement needs to be addressed too.

She stated she couldn't do the deal for these reasons and the owner asked her to come up with a proposal.

I have a question to propose to the wholesaling gurus and possible the moderator, if necessary.I've been working on wholesaling a number of properties with an asset manager who holds 45 properties of a former builder's inventory of unfinished homes all across Houston, TX.

Biggest thing I would suggest is (if you can) create more value in the unit you are proposing.

I am thinking of offering 165-175.The real question I have is I am interested in proposing a new lease offer to the current new tenant.

After we concluded we wanted to retain this tenant we proposed an 15-month plan to get them to market rent: an initial rent increase of $50, followed by a $25 increase each subsequent quarter until we arrived at market rent.