I think you’re trying to overpay taxes…If it’s worth $650k you won’t get taxed on $650k unless you bought it for less than $1.Otherwise, take the value today, say $650k, subtract about $50k for selling costs.

Your principle and interest can be cross checked on an outside calculator (Google: mortgage  calculator) and it will pull up a super simple one that Google has... but notice the two spaces between mortgage and calculator... it helps get you to it quicker, instead of the website named that.If your figures match what the google calculator gives you, and then the subtractions are $200, you know you are doing it right.But I will suggest that it's just that there are very few deals that work for investors at 7% interest range right now.  

I want to subtract the amount for what it would take to get the job done properly and pay him the difference.

Subtract the adjusted cost basis from your anticipated net sale and you get your profit which is taxed as two things - capital gain/ordinary income, and depreciation recapture.Unless you're selling the house for a loss you will not escape depreciation recapture unless you do a 1031. 

As far as location, it doesn't really matter, the IRS is nationwide and from there states add or subtract their rules. 

If you don't want to do this you can subtract $1k or so.

Just a quick note for your question, HELOC is taking a percentage of the property LTR around 70% for best rate and up to 80% probably for a higher rate, then subtract your outstanding balance on the mortgage.

Just subtract one from each of those to get the bedroom.

Debt service is subtracted from NOI to figure your before tax cash flow. 

Hey Jeremy.First off, you want to look at what rent you can get in your area... you take your PITI (principle, interest, tax, and insurance) and subtract that from the rent you receive and that is the amount you will net cashflow.