Contract states that due diligence does not begin until I have given my written notification that I have received all requested documents.During due diligence I request the following documentation:P&L Statements.Seller's Tax Returns and Bank DepositsLease agreements and rental receiptsCopy of current management contract and payroll registerCopy of insurance policyCopies of service and advertisement contracts (Trash, Water, Util, etc)Confirm any existing liens.WHAT IS THE BEST WAY TO GET TAX RATES, SINCE THEY MAY CHANGE AFTER THE SALE?

We are in the beginning stages and wanted to utilize our first home as a learning experience.

After those calculations I am at 73.3%.From that number I will subtract $2,000 (unless I can estimate better) for taxes, insurance and utilities for 6 months.

So it would be very strange for a judge to be analyzing the future possibility of a lender utilizing DOS in a breach of contract case where the sale didn't even happen.

Not included are repairs, capital reserves/improvements, vacancy, any owner paid utilities, and management.

If you paid 100K for the property and expended 25K in initial capital improvements, then use 125K as your cost.Going forward, you would put together your operating forecast/budget to include all the typical expenses: utilities, property tax, groundskeeping, admin, marketing, etc along with your allowances for vacancy (8-10%), maintenance (10%), and property management (7-10%).

These include, but are not necessarily limited to Origination Fees, Bank Fees, Attorney Fees, Title Insurance, Recording Fees, Hazard Insurance, Property Taxes, Transfer Taxes, Commissions, Home Warranties and Utilities.

The site is:www.therealalliance.comThey appear to have everything you need to get started readily available for you to utilize and maximize your deals including virtual assistants and software to keep your team informed and on the same page.Any and all feedback is welcomed.

I guess I am leaning towards it would be wise to use the equity if I could find another property that cash flows like I described (Currently a duplex FSBO asking $90k, with gross rents of $1600 - Expenses ($700 PITI, $250 utils, $150 maint/vacancy).

Thanks, MattBusiness cycles go to decline and then salvage or the cycle begins over through change, addressing a new utility, function, market and usually through change in management goals.