Crunch your own numbers with the equations that mean something to you.

I think to do these you need to add debt into the equation and hopefully still have your 15% NET NET NET after all costs in including debt.. so maybe investor puts up 100k and now makes 30k that is tolerable given the risk..

While you clearly don't do that, it does introduce ethics into the equation and clearly not all managers are created equal.  

The size of the tank is only part of the equation.  

She's wants to sell it and remove herself from the equation.

The reason I ask is that a new prequalification letter from the lender has listed the maximum purchase price that results in a DTI ratio of 60% if I follow the above equation.

Is it shoved in with all the other parts of the equation to make a whole and everyone except me understands this so then you compare COC and cash flow against the whole equation? 

Since you’re a broker, I wonder if there’s not an inherit bias in your attitude toward a method of transaction that eliminate the broker commission from the equation? 

A hypothetical $150/mo fee to manage a 2k/mo home is tolerable, but a 150 fee to manage a 750/mo house hurts.Just make sure you factor in all of your expenses into your equation and don't just calculate your cashflow as being how much money you have after paying the mortgage.

The interest rate is only part of the equation.