If I use 65%: $1260*0.35-$340=$101The difference in the cash flow projection is likely in maintenance/cap ex but if you did not include vacancy and PM that could also explain the cash flow projection difference.BTW neither of those are sufficient cash flow in my opinion for owning 3 units but at least they both reflect positive cash flow (positive).I hope that I am incorrect and to be honest I do not have experience at that low of a rent market (I have OOS experience but not at that rent point).Good luck

I think most issues come from a lack of honesty, rather than a lack of legality.

To be completely honest, I moved (transferred jobs) to Knoxville in 2012.

I appreciate you sharing your personal experience and it does help to show that some people are making a go of it in Frayser, however I think I need a broader pool to better gauge the asset base.In all honesty, I've seen a number of people who do manage large portfolios post positively in other threads regarding investing in this area, so I'm trying not to read too heavily into the fact that they aren't willing to share their results (but who knows, maybe they just haven't had an opportunity to respond yet). 

It is a 0.603 acre rectangular lot at least twice as wide as the are holding the 8 townhomes, has a retention pond in the back but the Realtor explained that in the REO process the engineering information is missing.In all honesty, most of what he said was Greek to me but here is what I would love to do:I would like to reach out to an experienced builder/developer to partner with.

Appreciated their honesty.

I am currently with a small brokerage which is run by my aunt and to be quite honest i know it may not have been the best decision but i have faith that i can build it without the big machine.

Again everybody is different so do not take my word.3> Which state to do LLC: For the starters, in all honesty it does not matter.

In all honesty I think it’s the investors that are holding back a bit, watching and waiting over the last couple of months.  

I am absolutely not attempting to commit mortgage fraud or anything of the like - I am just looking to ensure that I make each move strategically so as to maximize my available credit while still staying honest. I