Purchase price: $250,000 Cash invested: $50,000 Primary house hack.

I currently live in Phoenix, AZ but I'm looking to purchase land and put two prefab homes on it with my business partner.

I'm looking at monthly cost to seller vs. anticipated rental income, purchase price relevant to the ARV of the area and interest rate, balloon, etc.

Purchase price: $450,000 Cash invested: $650,000 Sale price: $1,600,000 New construction of single family

Purchase price: $240,000 Cash invested: $60,000 I purchased this duplex in distressed condition using owner financing for $240K and secured a $60K hard money loan for renovations.

That is in addition to clauses that require anyone that stays more than 7 nights in 12-months to apply (then it becomes our choice if they are treated as a temporary occupant or tenant) and prohibition of subleasing.

My question is do I go forward with purchasing the property and deal with the higher insurance and potential hazard or is it smarter to walk away?

@James Boreno You’ll likely owe taxes, but don’t forget to account for your adjusted cost basis, which factors in the original purchase price, depreciation over 10 years, and any capital improvements.

However, a common benchmark is aiming for at least 6-8% cash-on-cash return based on your total investment (purchase price + rehab + closing costs).Always factor in appreciation potential, tax benefits, and personal risk tolerance.

Quote from @Brendan M Hornung: I reside in Southern California and started my investment journey in March of last year by purchasing a sub-to single-family home in AL.