Purchase Price: $100,000.00 Purchase Closing Costs: $2,500.00 Estimated Repairs: $0.00 Total Project Cost: $102,500.00 After Repair Value: $120,000.00 Down Payment: $20,000.00 Loan Amount: $80,000.00 Loan Points: $0.00 Loan Fees: Amortized Over: 30 years Loan Interest Rate: 4.500% Monthly P&I: $405.35 Total Cash NeededBy Borrower: $22,500.00 Monthly Income: $850.00 Monthly Expenses: $840.35 Monthly Cash-flow: $9.65 Pro Forma Cap Rate: 4.15% NOI: $4,980.00 Total Cash Needed: $22,500.00 Cash on Cash ROI: 0.51% Purchase Cap Rate: 4.98% Total operating expenses: $435.00 Mortgage expenses: $405.35 Vacancy: $42.50 Repairs: $42.50 CapEx: $85.00 Insurance: $80.00 Management: $85.00 P&I: $405.35 Property Taxes: $100.00 Financial Info Income-Expense Ratio (2% Rule): 0.83% Total Initial Equity: $40,000.00 Gross Rent Multiplier: 9.80 Debt Coverage Ratio: 1.02

Multiply that by .45 = $900.  

Property is in a great college town with multipliers around 10-12x.

Parental help will be multiplied exponentially when you have acquired the other skills to go with it.

Sum the actual rents, multiply by 12 months, then multiply by 10 (GRM). 

So, IF you get into a loser MF, your losses will be multiplied on the way out of the thing.Yes, there are plenty of people making good money in both MF and SF.  

A portion of that (about half) will naturally be placed into a "reserve" fund for repairs and improvements, but I will still use this total, annualized (multiplied by 12), and divide it by the total cash I have to spend to acquire the property.

Long term goal is to have multiple offices in multiple states to really multiply my profits.

Probably very cool... that is of course if you enjoy rehabbing... or having lethal synergies behind rehabbing that pretty much can help you outgun your competition not only from the creative strategies of saving the deal using the straddle play, but extrapolating this deal further into greater profits, with use of creative rehabber synergies and creative money saving mechanisms in context of adding upside value to the property while simultaneously making sure that folks who live in your property end up not creating havoc and end up paying you rent in a motivated manner.Combine all that with commercial multi family real estate inter mixed with raising money for for private lenders and multiply that by the number of multi units in one complex and creative tax strategies and you get yourself a wild wild synergy, helping you save the deal and go beyond.Sorry if I am too theoretical... but it is what it is.

I see you're taking the Purchase Price loan amount, dividing it by 100K and multiplying it by 500?