If you're trying to buy on-market deals, then you either need to form a partnership where you're partner is putting capital on the table, or you need to get connected with a hard money lender to fund your deal.

Hi Bob,As others have mentioned, it is best to either form a new LLC in any state you have income generating property in or register an out-of-state LLC as a foreign entity in those states.

You can spit out whatever ROI, CoC you want based on some pro forma you create and project-- it all means jack ****. 

You can form a LLC and outline responsibilities in an operating agreement.

Create a pro forma using excel or borrow someone else's cashflow analysis. 

friend / partnerThere are 3 reasons, and only 3 reasons, to form a partnership:1 - Your Partner does something you can't do2 - Your Partner does something you don't want to do (if you don't want to do it, you won't do it well)...and the most important one,...3 - Your Partner does something you "shouldn't do. 

On my San Diego purchases, my what most would consider conservative pro forma shows virtually every property showing positive initial cash flow at a 0.75% ratio and most at 0.7% ratio.  

You are not likely to find a real deal on LoopNet, and the OM's often times will present pro-forma numbers versus real life numbers.

To answer your question, to me simple is better and I'm assuming you mean evaluating the property as in pro-forma for ROI.

But you more common items are plumbing issues (not replacement, but random clogs), appliances and HVAC.All told, assuming you accounted for vacancy, various reserves (capex, repairs and maintenance), turn over costs, PM fees and leasing commissions, and you can pencil to 7% CoC, that is a pretty good deal.It seems like you are not moving rents in a significant manner, but I would always confirm the surrounding area's average incomes can support your pro forma rents (if the tenants are already stretched at $1,200) the chances of finding tenants at $1,300 could be a challenge.