The 70% rule is reserved for talking points by the guy on stage talking to an audience who they’re trying to sell a coaching program to   It’s a get excited number not a do a deal number   The equation is: maximum of 65% of AS IS value.  

Most importantly please be sure to keep money in reserve.

2) How long can your reserves support the negative cashflow3) What's your plan to solve negative cashflow long-term?

I could, but the $$ fallout in lost reservations would probably be greater than any gains.  

Be sure to take high-quality photos, and if possible, request utility records that confirm separate billing for four units.

The property may not have any vacancies, but if it does, just make sure you have enough reserves to cover that. 

It confirms what I was thinking as well. 

Depends who you ask and how secure you feel about your income On the one hand being debt free is great, but leverage allows us to build our wealth quicker.RE investors are notorious for being cash poor, so I would avoid thatIf youre able to comfortably save 100k a year and have enough reserves, I think buying leveraged properties is the best way to scale.You could kill two birds with one stone theoreticallyThey say paying an extra month a year towards principal saves you 7 years on a 30 year fixed mortgageUsing that logic you can add 2+ months a year on your primary, and buy 1 property a year and keep enough reserves. 

So I approached the foreclosed upon owner this week to confirm that she had sold her right of redemption... she confirmed.But the investor has not filed the petition for redemption.And of course the court has not approved the sale.I am bummed about losing the deal.  

Re 3X 6X not sure what you are speaking about.I was addressing reserve requirements which do not have anything to do with PITI