The one she last told me about is the HOA was suing one homeowner because he was had a porch light greater than 60 watts.The last property I owned within an HOA community was spending an average of $50,000 annually on legal fees.

Forgot to mention - I would pay cash for the property and I have factored in 10% annual maintenance/repair, 5% self managing cost; $1393.00/year property taxes, insurance, utilities, and 10% vacancy/bad debt/collections into my spreadsheet.

CK Hwang.Flipping provides a higher annualized yield versus buy/rent on the same dollar invested. ( Not accounting for leverage).

The projected cost for that sale at $33k, so yes, the flip profit would then be $129k, with an ROI of 41%. the annualized ROI at 163%.Thanks for pointing that out.

UPDATETwo things have changed since I last posted:a) We wanted to get in a renter ASAP and not wait for the decision of which way to go, so I posted an ad actually for $1595 not $1500 and got a new tenant.b) I worked on the insurance and got the annual cost down from $808 to $566 with higher coverage.So now the revenue is higher by $95/month than previously expected and the cost is $20 lower.

"Business Week" publishes annual rankings for these schools.

This is his calculation:Estimated Gross Income : $206,268Estimated Total Expense : $107,515Estimated Property Taxes: $ 16,536Estimated Insurance : $ 8,004Estimated Total Expense : $132,055Net Annual Operating Income: $74,213Purchase Price : $320,000Plus Estimated Rehab Cost : $100,000Total Cost : $420,000ROI : $74,212 / $420,000 = 17.66%Now I don't know how much was added for management, maintenance, vacancy and other operating costi) What would you do from here?

Price - 18500Total Taxes annual- 1852Insurance annual - 525 Renter pays electric, water and gas Deal 2 I am in talks to buy a 5 family home owner financed for 61k.

I called a couple of local RE agents and ask them to find tenants for me and I'll pay 3% of annual lease as commission.

So I will assume $80K is doable.If you can live on $25K gross income, that means you are extremely frugal/resourceful.. and that your costs at at most $25k (unless you are living beyond your means).So Now you are $80K income, say taxed at 30 = $54K net - $25K = $25K of annual savings.