Lenders don't like to do mortgages for amounts that low.Assuming you can work through the financing issues and making some assumptions on taxes & insurance, with a $100/mo reserve for maintenance and a 5% vacancy factor, both of which are optimistic...On the buy & hold I have you cash flowing at about $200/moThe flip has you netting about $6000.Now...it depends on your goals.  

Please let me know if I made any erroneous assumptions or made any outright blunders:)The home I purchased has 4 bedrooms and 2500 square feet(it had gone through foreclosure) on approximately .22 acres.Purchase Price - $124,000Cash to Close - $4,340 (3.5%)Monthly Projected Rent - $1,350 to $1,450 (Figures obtained from a PM yesterday)I am using $1,350 for these calculations so: Yearly Gross Rent $16,200Yearly Property Taxes - $1,730.61 (do property taxes change when going from residential to being a rental?)

I think I was down to looking at what http://dpw.lacounty.gov/bsd/prcesec/index.cfm had for rehab buildings, but deals here seemingly require too much in assumptions of capital gains relative to cash flow.

You will likely find better terms if it is in your personal name.I'm making an assumption that the personal residence you are mentioning is the upcoming four-plex and not a current home.  

Linear foot assumptions, etc. come into play.3.  

If so what would be a conservative hard/soft cost assumption per sq ft?

Looks like your assumptions are based on a short holding period of 3-4 months.  

Again I'm not sure that assumption would hold up in court, at least not on planet earth.The framing and trusses that were built cost $16000.

I generate 12%+ annually from cash flow alone (cash on cash) and 20%+ annually (factoring in 5% appreciation assumption, which I've beaten every year since I started investing over ten years ago.

Can the assumption be made that they have the property info mixed up?