Expenses:-Mortgage (30 yr, 3.25%) $650/month-Property Taxes $1200/yr or $100/month-Management Fees $200/month-HOA fee $120/month-Insurance $350/yr or $30/month (Insurance is low because it technically counts as a condo)Total Expenses: $1100/monthTotal Income = rent = $2000/monthIncome - Expenses = $900 Please let me know if you see any flaws, I know there will be income taxes at the end of the year but unfortunately my inexperience may have got the best of me and I didn't talk to a tax accountant about the subject.

What are some tip offs that someone is taking advantage of my inexperience?

My feeling is that if they have listed with an agent, they aren't savvy about other options, which is where the opportunity to educate comes in.This is my inexperience showing through on seller financing.

The suggested exit strategies sound more like inexperience folks just tossing out what they believe they know.

With our inexperience we are really just trying to understand how much we should be concerned about taking on some additional risk (two properties with mx on both and the area) for the additional cash flow.

Time- basically, we were delayed alot because of the winter, and my inexperience. 

i'd be very concerned if you are this new and are attempting to tear down and rebuild a multi. it's a fantastic idea/opportunity and novi is a great area. but your challenge is your inexperience.

I may be able to convince the owner to finance a portion of the deal, but I'm not sure how to fund the rest of the purchase.I must admit my inexperience in creative financing, but there seems like there should be a way to make this work.

We have thought about being involved in real estate investing and have finally, and seriously, made the decision to educate ourselves and then take the first step.At our level of experience, or inexperience :-), our first order of business is to find a real estate broker who can assist us in finding our first property.

@Aaron McGinnis , if I were going to make an excuse, I'd actually go for inexperience, since this if my first flip ;-) Lol, I'm actually going to go for me being a jacka** though, instead :-) The worst part is that looking back at every...single...step, I ask myself "seriously, did I miss that?"