I also think you may need to put more than $15/month in a cap ex bucket.

Landlord reserves the right to revoke consent given in this agreement via 7-day notice (as outlined in Paragraph 12 of the Lease Agreement).Date Executed: _______________ Date Executed: ________________ Tenant Signature(s): Landlord or Property Manager Signature: ____________________________ __________________________________I've also seen other landlords in my area put a cap on the water usage. 

You can kind of extrapolate a cap rate based on this and it aint great. 3.5-6% would be my estimate based on how agreesively you model expenses.

I closed on a duplex in northern Ironbound earlier this spring at a cap rate of 7.5% (incl. of prop mgmt & capex reserves) but starting to look towards other neighborhoods, namely Upper Roseville.

That is why you may have to do two closings and budget for both of them in an attempt to not let the seller that you are making a profit on what you are doing.In this economy Fix and Flip may be the best way to go including the borrowers that are willing to finance your repairs or rehab or to purchase multiple unit houses with a loan that the FHA will provide you with a low down payment but it is only made to an owner-occupant for regularly 12 months and you get to keep that same loan if you even when you choose to move away.Another thing to consider is to buy apartment complexes and take the advantage of positive clash flow and using a cap rate to increase your value on add-on properties and raising the rent. 

Another association I belong to, Ive assisted with property tax appeals, connecting association with a capable law firm.

Even though the application of a cap rate on future income is improper, if you are determined to apply the 3% spread rule, you might find a lot of success if you apply that rule to capitalized income upon stabilization. 

The property sounds like a Cape Cod style adding a bedroom upstairs and installing a heat source will definitely up the value and rental rate but is it worth the cost, a good manager will be able to advise you of that too as they are licensed in real estate and can give you an opinion of value.

I feel pretty confident doing an analysis of the duplex and project expenses, which cash flows nicely at $535 a month and a cap rate of 6.3% in year 1, assuming steep cost estimates and market rents.

As long as you don't put both your names down on the loan.VA loans don't have a cap but to get the zero down payment benefit you have to keep your totals under that $453k or whatever the limit is for your area. otherwise you put down the difference.You can get a certificate of eligibility on your own through the ebenefits portal or a lender can do one for you when your ready.I was trying to find a good article that i read a while back for you but i don't know where i seen it.