1.25-2 DSCR per property is healthy, and keep cash set aside of reserves per property.

If the local market is healthy and rental income will be adequately managed by a property manager, then a long term residence could be used to build equity.

Purchase price: $160,000 Cash invested: $30,000 Took this home from bad to glam in 1.5 months for a healthy profit.

Doesn't that indicate a pretty healthy retail market?

Hi Health, I am planning on self managing it.

You just have to have clear expectations and a healthy margin for error.

It's always important to have contingency reserves and having a healthy contingency line item that's capitalized can greatly reduce cash during life of loan.Loan Administration:Remember construction lenders release for completed work and the borrower has to navigate the process by which the work is completed in order to obtain reimbursement.

The military brings a lot of folks out here with a healthy BAH to rent but you usually can find 2 bedrooms hear for around 2000-2500 (depending on area). 

Let's now discuss taking on new construction for your first time around.The spread between value and cost is quite healthy, but are there transactions recently supporting this price?

You'll need to make sure the ROI spread is large enough that you can still turn a healthy profit if you have to sell under what your projecting for ARV.