But assume you found a property they would allow you to do it on. 

Quote from @Jon Parks: I think it's safe to assume your capital is gone in failed business ventures.

Ok so a diff path then my previous post.I also wanted to invest in real estate but just assume( and bet is probably true) that most of the people that find truly good investments have  either or all of the following the most "average joes" don't:1.

Do NOT assume they know everything.

@Stacie Telles Assuming you took out a conventional mortgage on the property you won't be able to refinance for at least 12 months.

I ran some of your numbers, assumed rent of $1,290/unit and that you pay cash for the rehab costs.

Anthony, again assuming you can’t or won’t rent out rooms in your home, better known as easy money.

For a 30 year Conventional loan, I'm at 6.5% rate (6.808% APR) for a duplex, 95% LTV, 780+ FICO, owner occupant.And I'm assuming they're paying $2k of your closing costs - not your down payment.

I am assuming this is in TEXAS (I am editing this as I thought I was in the Austin Fourm, I understand now that you might not be in Texas)  as each state has their own set of laws that property managers must follow.  

I don't know if I can sell my wife on moving into a fixer up but I assume the idea there is to repeat the process with the new house.