The interest only options are fewer these days, but that cap rate multiplier with no payment reduction as the balance is paid down would be the deal breaker for me.

The biggest key to multiply your assets, is to buy right with equity, fix it up, rent and take the money out and do it over, and over again.

Go ahead and multiply 4% by $750k and tell me if rate is really what we should be focused on here when evaluating if this makes sense, or if we should just move on from the property...

ok let start from the beginning so u can fully understand my situationI met a investor who was looking for bird dogs so we connected an paperwork was done an a agreement was reached within this agreement said investor agreed to fund my section 8 program here in ks as part of our contract.Well I've been doing the job asked of me but the offers this investor sends doesn't make since under the guideline's of the math he broke down to get his numbers for the offer65% price reductionSo there's a house that's 199,000$ according to the math I'm spose to multiply this number by .65 the numbers come out to be 129,350But he sent a 95,000$ offerOn all his offers or not acceptable due to his low offers I've been on this for about 2 weeksBut I don't see my program going any because of thisWhat should I do over 60 houses under 50 grand wouldn't you offer what they want if it was worth it why try to swindle people out of property???

@Kyle GodboutI think what you are doing is a GREAT idea, you are slowly but surely creating wealth and multiplying that with knowledge as you begin to purchase more deals at better prices!!!

Here is some additional information:SQ FT: 1,800Sale price: $260kYear built: 1980Taxes: About $3,500Gross income: $20k/yearRent multiplier: 12Operating Expense: $10k/yearNet income: $11kParking: 2 car garageRents include water/sewer/garbage/landscaping and according to the REA it's been well maintained and always rented.

Gross rent multiplier?

Multiply that by the number of units and/or larger rent increases and you find the driving force behind value add investors.

If you want to know the cost of learning real estate Plug that into the BP rental calculator) then multiply by 24 months because I rented this house a couple years like this.

The benefit of having a GC on the project is that you have 1 person to hold liable for cost and schedule; dealing with contractors it's not always pleasant so no need multiplying the effort.