Here's the low down:250 Units, Evansville, IN | Class C+/B- AssetAcquisition and Assumption of Existing Debt (35yr Amort at 2.93%) + Mezzanine Note + Equity of about ~23% Equity Raise: ~3.1 Million (our own cash + limited investors as well).Plan: achieve cash on cash returns in the mid teens (going in 8.55%), IRR of 15%+ and 2.25x over a 7 year hold.

Here's the low down:250 Units, Evansville, IN | Class C+/B- AssetAcquisition and Assumption of Existing Debt (35yr Amort at 2.93%) + Mezzanine Note + Equity of about ~23% Equity Raise: ~3.1 Million (our own cash + limited investors as well).Plan: achieve cash on cash returns in the mid teens (going in 8.55%), IRR of 15%+ and 2.25x over a 7 year hold.

Unless you are tied to CA for some reason, why not look at a place where your cash flow returns are better?

A typical analysis would say if my projected rental income (conservative modeling) dropped 10% and occupancy dropped to say 81%, am I still able to B/E and pay the debt and provide what level of CoC return to my investor.  

Honestly, if somebody can't afford to come up with $4,000-5,000 for a deposit (which ideally is returned to them anyway), I probably don't want them as a tenant.

We could use a little physical help (not financial) finishing this home and are happy to return the favor with a lot of help on your current or next project in the area. 

We could use a little help finishing this home (not financial) and are happy to return the favor with a lot of help on your current or next project in the area.

I'd base my offer around the property's income combined with my demanded rate of return, as well as the comparable sales in the area.

it's the return on their investment.  

I'm a number cruncher as well,  I always like to measure Cash on Cash Return, that's my fav number :) What is your key metric?