Compare this to the rent.Now, adjust for changes in valuation.

Closing today on a property that is in pretty good shape compared to what I normally see and buy.

Jim,9% is not bad as all compare to the hard money lender in our area.

Then I will get an estimate from a couple of Contractors and see how their estimates compare.

Try and compare comps within a small radius to the subject property staying as close as you can.

We came home and compared notes, typed them up into Word, talked about a plan moving forward, and made some meetings with some people we want to meet with to discuss a few more questions and start mapping out a strategy.

I would compare having an architect do the plan to having a Dentist clean my teeth.

I had to provide some documentation, but minimal compared to actually getting a new loan.

If I can mortage 100%, 14% interest, and still cash flow, using 50% rule, im fine with it. when i started I didnt have money to carry properties for 1 month unrented, guess what, i worked harder, faster, and made it work. kinda wish now a days i had no reserves, although my reserve fund is TINY compared to most, I think if I had NONE I would be at one of my empty recently vandalized properties right now replacing sheetrock as oppose to being on BP!

Im in a hard hit market in Northern CA so properties are still relativly inexpensive compared to what they were 5 years ago.