Based on the purchase price, closing cost, agent fees and certain other items you will calculate (capitalize) a total number.

@Bruce Woodruff You’ve captured the unpredictable nature of real estate perfectly!

And then the second item is - if you do take out more money, where does that leave you from a cashflow standpoint.   

I just added laundry to a unit and need to update the lease with a laundry line item.

Is this for all DCSR loans or can these items vary?

Unless those items are all satisfied (except for housing violations and some non-monetary liens which follow the property), the department of finance will not allow the deed to pass through to the next stop in the recording process.So even if you wanted to dump a property that was totally upside down with liens to someone who was willing to take it from you, you can't do it.

Second, your lease should indicate what items are included/covered by the landlord.

Depending on the market you don't have to be a genius to capture good upside if you've got a good project, but when you don't mitigate the downside it doesn't matter what the upside looks like (in my opinion).

@Marc ShinLike @Andrew Steffens said, for big items, go with quality.

Had my inspections done a month or two ago and they checked about a dozen items per property that had to be corrected and told us the properties were deemed "uninhabitable" until then and no one could stay in them.