I don't think Kfalls is the land of milk and Honey but it's a lower entry point to play ball then other area's of Oregon.

We just did 5 new mail boxes on a 4x4 cross bar & support for - Mail boxes $12 each- 4x4's $16.85- Apt # Lettering $5- Maintenance guy $25I would assume if they can get away with $100-$200 every couple of months they probably felt justified in milking you for quick $135. 

Looks to me like you are just trying to skim 33% of that profit from your Investors by getting those same "2% Rule" deals in the first place (without too much effort), then pretending how hard you have worked in order to provide all of 8% return! 

If your physical vacancy is 12.5%, your economic vacancy will be greater, perhaps even double depending on the tenant population, the neighbourhood and the rate of decline of the business.You need to understand the customer, and how the business arrived in its present state, before you can determine whether the pay-back on 50K of CapEx - not to mention the initial purchase - is sufficient.As others have posted here, it sounds like the Vendor has milked all of the equity out of the building - leaving the building with significant deferred maintenance; perhaps even obsolete.  

Must have just skimmed whatever video you saw.3.

My plan is to milk this cash cow forever, do $40k cash out refi in 6 mouths, use the money to purchase multi family properties.

I love milking these cash cows!

And is being milked for every penny...

I worry about sale leasebacks, buy it andd find another house for the owner to lease 2 ownEquity skimming laws 

Doesn't seem like your analysis has any account of all the repairs needed to make rent ready.Sheetrock:  $25 to hang a sheet, $25 to skim/patch a sheet, plus the cost of each sheet.Paint: about $250 a room depending on how expensive you go with paint.Flooring: $2 - $8 a sqft depending what you end up doing Get all the mechanicals checked out as well.