Lastly, the price point is still very cheap here in the sense that you can still find investment deals that hit the 1% rule for 120-180k!

Then reality hits and you find yourself in over your head.

The biggest key was understanding that It was more important to get on base then it is to hit a home run.

If I had an MTR at hit 90% I would potentially raise depending on the market but likely keep as is. 

Freddie accepts this.Couple of options from here: If you did not set up notes receivable, recognize that you may owe it to your seller and take the hit on a higher rate refi to help him.

@Ashish Acharya: You hit the nail on its head !!

Re-investing that cash will buy you a lot more top-line value, but your cash flow will take a hit for a while.

I'm concerned with being hit with a lot of "unexpected" costs as the project starts.Any advice would be appreciated.

U will never hit the numbers ever in renovations as there is no way to know the unknown.. just make sure there is plenty of margin above you all in price and cost of capital. 

You can pick up a duplex in decent condition in a C-class neighborhood and hit the 1% rule