The other limiting factor is that we have two children and child care is not cheap.

I really do like that It has a Anonymous factor.

But yes, as long as you factor in the costs for the loans, and have cash for downs and rehabs... you fully can.

Also don't forget to factor in the 4% transfer tax which makes your investment usually 14/24% on down payment.

@Chris MasonNot quite it as far as the CCCR comment.Appraisers use three models for value.They also factor in cost to build/replace.They can also use income.To the OP; Ask the appraiser what method(s) they used before you figure out how or if you can change their mind.

To answer your question, yes I would walk away from this one because some of the main factors you need when wholesaling is motivation and equity.

I comped houses with similar square feet and found theres enough sq feet for 2 additional bedrooms, potentially hitting the 352k range. owned the property for a little over a year, with a 50k downpayment. original loan = 333kfinanced = 281kcurrent value = 340k (according to his loan officer)Ive ran it through the usual 70-80% formulas but wanted some extra opinions/ weigh ins before i send him my offer. of course i dont want to insult him, being family and all, but he understands the convenience factor im providing.

I agree about the comments regarding Crook County so we do factor in a lower purchase price to compensate for the added timelines and costs.I'm coming to believe and will continue to test out the following: If you have a highly competent attorney, you should be able to reduce timelines and generally mitigate the risks of investing in judicial foreclosure states.

If you're talking about a FNMY or Freddie loan, then your score will be a factor.

@Matt WhittleI believe DTI is going to be the big factor.