If you have to go up from there I'd add enough for moving and security deposit on an appropriate apartment.

I would like a little more thought on this…as to how does the whole thing work and how can we invest properly in pre-foreclosures to earn secure profits.

No it was no typo, my triplex is officially a duplex, but the basement of the lower unit where I live has been outfitted as a bachelor pad, so it's got it's own bathroom, small kitchen, stone fireplace, and a nice shiny wood floor.

There is no aspirin bill because of evictions or any other aspect of the business (except maybe dealing with city officials).

Check that all cabinet and closet doors are secure.

In all likelihood, I would stay in the home and not flip it.Is borrowing $20,000 secured by a 2nd mortgage, and then refinancing in 12 to 24 months to take the 1st and 2nd mortgages out... a realistic approach to acquiring this property?

My sister sent the security deposit accounting back to a student/tenant and the mother called and said she's going to sue her.

Make sure you have a "sufficient" security deposit.

. ($350)One is on social security and is disabled – other pays rent cashiers check ($275)Unit mix 2 x 2 bd/ 1 bth Here are the numbers:Price $26,000 (they will only accept cash) I can come up with about 10k in cash but would have to take a personal loan to cover the restGross Rent: $7,500 (100% occupancy consistently)Expenses –A) $1975 (owners claims with property mgt included)OR –B) $3000 (if I assume a 40% of rents =expenses) NOI:$5,525 (if use A expenses)OR$4.500 (if use B expenses)Even if I was to 100% LTV at a $26K price at approx 7.5% Annual Debt Service would be: $2340So Annual positive Cash Flow would be: $3185 (if expenses A – owner claims) (or $265 a month)OR $2160 (if expenses B – using 40% of gross rents) (or $180 a month)Repairs known (before property inspection) needs new exterior and interior paint (additional $1,500), Roof is approximately 10 years old The money seems small but consistentDuplex Located in Buffalo, New York There have been a lot of foreclosures in that area – some I can tell were investorsOn the plus side, these tenants don’t seem like they are going any where soon.

Real Estate Agents and Short Sale Investors do not mix simply because the SS investor has no security that his/her offer won't be topped by somebody else who comes in 2 - 3 months after negotiations have started.The REA's job is to look out for the best interest of the client so they are more than happy to present a higher offer to the seller and why wouldn't the seller sign it.