If each unit rents for 650$ and I spend 2k+ on rehab with each turnover + 1 month vacancy + 1 month leasing fee, you pretty much have lost 5 months of your earnings.So returns will get to 10-12% only when tenants stay >1 yearI will continue to work with recommend HW but want to provide a balanced view on expected returnsThe pro formas usually under estimate initial improvements.

I would focus on the raw pro-forma and net cashflow over cap rate until you are looking at investing in a larger MF asset.

James,I plugged in a few numbers, mostly from the broker pro-forma numbers. 

Have you seen a t-12 or a pro forma?

When you run your pro forma how does it turn out?

Don't rely on a spreadsheet, try to give accurate and even slightly conservative pro forma numbers to people, and if you  maintain that great reputation buyers will show up for the deals you have under contract.

With current rates that's a break even in the pro forma and we all know what that means.

So even if you pick a state with stronger protections like WY or NV, the cause of action arose in the state where the tenant fell, so likely that the court where the accident happened would have jurisdiction.California tends to have more laws on the books and requirements and restrictions that it can be a good idea to form a CA LLC for in-state property or even out of state property so that you as a CA resident are covered, and to try to have your contracts fall under the purview of CA courts.

Does anyone know of any robust templates for creating pro forma financial statements for real estate businesses?

You'll just need to form a great team that includes a PM.