And how do you determine your company's returns on these types of projects? 

As others have stated, you have not provided enough information to determine whether this is a good deal or not.

For me, the first pass at underwriting is simply about determining if a deal is worth exploring further.In the current market, I’d say 9 out of 10 deals are dead on arrival.

Depending on the value at the time of death and your basis you may need to file a gift tax return.I would speak with a CA attorney to determine the best type of deed to file and a tax professional to gather more information.

I ASSUME you’re talking $400+ in extra expenses for providing water, power, sewer, gas, internet, communal area cleaning, and exterior maintenance.

If people took the five minutes to complete it they would not need to be asking and searching the internet for their answers. 

We often need to ask the right questions to help determine the best route for each individual.

I just finished The Book On Rental Property Investing by Brandon Turner, and it made me even more excited and determined about getting into this business.

You need to do a cost-benefit analysis to determine if it's worth it.  

Options like a unique amortization schedule or a 3/2/1 or 2/1 stepdown interest rate could provide initial relief to get you through the renovation phase while giving the seller confidence in a structured payoff plan.To determine an entry point, consider reducing the price based on the current NOI.