@Matt Shields since you buy auctioned properties, how do you verify if they have liens on them?

I will be verifying that by walking through the property, as well as having a certified inspector walk through as well.

I’ve put in full baths for as little as 4K and some over 25k.Get multiple quotes, go see their previous work, verify their insurance and build out a draw schedule that makes sense based on labor and materials.

Its up to you guys of course but make sure the sellers financials are verified. 

Still in the contingency phase, and I found a better deal in the same area for a building that’s nearly identical to the one I’m in escrow for.

(Yes, I know how to vet PMs.)Lots of CapEx in the past two years, mostly updated units.New roofs / new plumbing in most / new HVAC / etc.)Block bombproof constructionProperty has been cranking out greatly increased cash flow each year.2016 - the true net after ALL expenses, management, and repairswas about $800/month2017 - the true net after ALL expenses, management, and repairswas about $1,200/month2018 - so far this year, the true net after ALL expenses, management, and repairs is about $1,600/monthI have actual bank statements / tax returns / P&Ls to verify all of thisMany tenants have been there for 5+ yearsVery low vacancy rateAll tenants current on rentThe negatives:Neighborhood is terrible.

We have 11 years perfect payments in rent to one landlord who can write a letter, but have had identity theft and other hiccups along our road of life.

We have 11 years perfect payments in rent to one landlord who can write a letter, but have had identity theft and other hiccups along our road of life.

The Guidelines are same as long its under confirming loan limit.  2 years history is good enough  but lenders can accept working history from other county which can be verify by paper trail.  

Verify that you can in fact add a structure but I suspect you cannot.Its negative cash flow is far worse than you calculated because your calculations did not include maintenance, vacancies, cap expense, Misc.The reason for the big negative cash flow is the 96.5% LTV.