I invest in turnkey properties out of my area and look for a minimum of 10-12% cash on cash returns, and I allow for 12% soft costs (maintenance and vacancy).

The seller has a soft spot for the tenant because she is a single mom with 3 teenage boys.

The management company he picked provided all consumables including bed sheets and towels.

Hi there, Having trouble getting a grasp on what soft costs might really look like.

If you want to use carpet b/c of budget reasons, only in the bedrooms.And NEVER use laminate or wood (see buckling, warping, shifting, etc)Painting: Paint the walls and ceilings the same color in all houses (I use SW Maisson Blanche)...Do not install towel holders, toilet paper holders and garage door openers.Only install a ceiling fan in the living room and master bedrooms. flushmounts everywhere else.Don't get crazy with landscaping, only mulch and basic bushes if you must...Just think 'clean and functional' for rehabbing...But don't go 'slumlord' route either.

There may be reports that are compiled where someone links FHA loan numbers back to the loan or if the data provider can do a data dump of the database, I don't know of those things to well through the standard REI mediums.

Don't think I've seen a better one.I do believe you take a 5-10 point hit and you get a (soft) inquiry placed on your credit report for every new credit card line you open.

There are still lots of politicians (including the Minister of Finance and PM) who are still preaching no pending real estate crises or, worst case, a soft landing ... however, fewer and fewer economists are certain.

There are a couple of old couches in the yard, a window a/c unit in the front of the house and a towel stuffed in beside the ac unit to close the gap.Crime searches in the neighborhood don't turn up anything terrible though so I don't think it qualifies as a war zone.This was sold as an occupied REO which means I haven't seen the inside of the house yet and I don't know anything about the tenant history. 

If you build in the outskirts, the sale price will be much lower, which compresses your profit.2) construction cost if you're doing the work yourself, you're close, but still off I believe. 3) Soft costs - you haven't included this in your estimate.