Up date one side by adding additional bed and bath (the other has already had this done and is in excellent condition)ARV: 475-500KMonthly income: $3200Monthly expenses: $2283 (mortgage, fixed and variable expenses, future assumptions) see below-monthly P & I: $1622- fixed expenses: $340/month (water/sewer, insurance, property taxes)- variable expenses: 2% vacancy ($64/month) , 5% repairs & maintenance ($160/month),  cap exp 3% (96$/month): No property management since we do this ourselves for our rentals.- future assumptions: 2% annual income growth, 5% PV growth, 2% expenses growth, 6% sale expensesBigger pockets tool sheet with above data:Cash flow: $916/monthCash on Cash ROI: 6.65%-7.57% depending on rehab costsPurchase cap rate: 7.15%I know this does not meet the 2% or 50% rule but it seems like a good investment for the area.  

What does the insurance policy in dollarslook like for that mixed-use situation?

Do we accept putting additional cash into our first deal or do we keep our eyes open for another deal.Original Offer:Price: 153k ($31k into the deal)Anticipated rent: $2,000k/monthOperating expenses: $9.4k / year (includes management, cap ex, vacancy, taxes, insurance, etc.)Cashflow: $4.2k / yearCash on Cash return: 13.68%The appraisal came in at 146k and they raised some very valid points on why the property was not worth 153.  

If market cap is 7%, then we want to have our property stable at an 8.5-9% cap.

This is a good option if you have good credit, stable income, and a good amount of savings.

This is the group you want to be in, because you can separate the parking space as an additional service that is not part of the rent.By doing this, then applying some payments terms to insure the tenant has to pay his other account balances first before the parking space, you can then tow any vehicles parked in the space that is not in good standing with the parking space rental agreement.This means if your rent is $1,000.

What does insurance cover (generally) related to hurricanes?

And unfortunately, those are the people who didn't have flood insurance because they didn't think they needed it.

One thing I've noticed is that a lot of people don't have "replacement value" insurance coverage.

Have you checked with the insurance company about an improvement to your rate if the fuse box is swapped out?