Subtract from rental income of $13,800 the three types of expense: depreciation ($2,818), interest expense ($9,270), and operating expense ($2,500).

To get the net income, what do I subtract... any cost associated with the rental property, but not including the mortgage?

Recalculate your deal, subtract out your partners' profit and see if it still makes a profit for you personally.Private money lenders can be good friends indeed.

I have read now that you can subtract selling costs (commission, etc.) from the sales amount which doesn't boost my borrowing from my lender to make up the difference.

Then subtract mortgage payment, property taxes, insurance, repair fund, and vacancy loss.

Property Ladder shows both the "asking" price and the final sold price (though they do fail to really subtract out lots of expenses).

Buying properties for a low enough discount would be one of the main things you would learn after doing a rehab or two on your own.In a normal market, a good formula for a rehab is taking 70% of After Repaired Value (ARV) and then subtracting repairs from that number.For example if the property will sell for $100,000 all fixed up, and it needs $15,000 in repairs, then you would take 70% of $100,000, which is $70,000, and then subtract the $15,000 from that.

Say for example i'm getting $2000/month gross from a 4 unit in my area (it's cheap around here)That house would probably cost around $120,000, which makes about an $860 per month payment for mortgage with 0% down What are some of the percentages I should be subtracting to get a rough estimate of the house?

Then take that number and subtract the estimated repairs.$100,000 ARV times .70 = $70,000$70,000 minus $10,000 (repairs) = $60,000 (maximum offer)Check out the Crunching Numbers posts at http://forums.biggerpockets.com/viewtopic.php?

The basic numbers I see are usually:Purchase Price- price you pay for the propertySelling Price - amount you will sell the property for (not necessarily what you will list it for)Holding Costs- monthly payments, insurance, utilities, points paid upfrontRE Agent Commission - agent's commission on the sale of the property (commission on the purchase of the property is considered paid by the seller)Rehab costs - total expenses used in rehabbing the property from lawn, paint, permits, property inspection, contractors, supplies, etc.Profit - the amount you must make to take the dealIf you take the selling price and first subtract the purchase price, then subtract the expenses (holding costs, agent commission, rehab) you should have your Profit amount.