This model assumes traditional financing with 20% down and assumes minimal rehab (although this could, and probably should, be added).This is ideally what I'd use to back into an offer price that would get me into a 10% - 15% total return range.Based on the inputs here, the returns are lower than the target range and would require the total purchase price to be in the $55k range.Would love input on anything material that I might be leaving out.Thanks in advance.Spreadsheet Link

If you were paid for your time it would need to be added to your taxes as income and you would pay taxes on it

My question is this: Should we continue under the LLC when investing in NJ properties and have the two NJ partners be added as agents to the principal to conduct business in NJ or should we establish a new LLC in NJ for all three partners? 

It allows for a small down payment while allowing improvements needed to be added to the loan..

I wouldn’t be adding square footage, more updating the house from the 2010’s look the new modern look.

Sure any realtor can fill a vacancy quite quickly, I myself am a realtor, in fact all of our PMs are, BUT after it’s filled it’s YOUR headache not your realtors… your PM has an incentive and an aligned interest to yours to find you a quality and problem free Tenant for you —- I can tell you with certainty that we turn down many more applicants than we approve because although the commission is important what is more important is that we find you a quality Tenant because we would be the ones managing the unit after the fact… something which can’t be said for a non-pm realtor; heads to beads, thank you for the commission and if there’s a problem it’s yours that is the risk you take with a non-PM realtor.

Feel free to DM me if you wish to be added to our cash buyers list. 

Yeah, there will be some sellers that think more of their house than what it is, but you can get a good bead on the sub 50K market by looking at every for sale in a 3 to 5 mile radius.

Lending requires a bit more investigation and compliance with laws, both local and federal.land banking (investing in raw land) requires some very good due diligence into the market and into each potential purchase, then has negative cash flow so your exit strategy must be well planned out and this is more of a speculation play.You should be adding to tax deferred/tax free growth accounts like an IRA, solo 401k or ROTH versions of either.

@Jerry LoCoco the way I wrote the section about the rehab in my original post left it a little unclear as to what is already in the property vs what I will be adding.