Saw this today:http://www.federalreserve.gov/econresdata/2014-report-economic-well-being-us-households-201505.pdfHas some great information in it that investors might find very interesting.

For example, research supporting why you're focusing on homes in the price range of $100K-180K, why you plan to market your properties through Craigslist, etc. because someone other than yourself may be looking at your plan at some point and they need to know the method to the madness.Good points to research are:- How fast are homes selling in your target price range- What is the median income of the local population- What is the median family size of each household- Where are the best neighborhoods located; best schools- Marketing: how are you going to convert leads into sales?

I would not bother trying to 'back out' any of the mortgage or other normal household expenses and try to justify that as profit.

They were forced to sell the home, to incur costs of moving an entire household and to become renters for several years until they could recover from the financial burden associated with their son's chronic illness and death.To all who wish that government would protect them, I cite this example as I remind you  BE CAREFUL WHAT YOU WISH FOR,  YOU MIGHT GET IT

Some 7.5 million households will have lost their homes and nearly all of them have since become renters – many of single-family homes similar to the ones they owned previously: http://www.housingwire.com/articles/34369-moodys-analytics-single-family-rental-growth-will-accelerateApartment Market Strength Continues in Second Quarter With 5% Annual Effective Rent Growth and 95.2% OccupancyAnnual effective rent growth for United States apartments reached 5.0% for the first time in four years, according to early second quarter 2015 numbers from Axiometrics, the leader in apartment market and student housing research and analysis: http://www.digitaljournal.com/pr/2600931The 20 Hottest U.S.

Brother tried to help them buy it back in the end I rented to them for a year ( when I could have just evicted and sold)  they then failed to pay rent and wife swallowed a bottle of pills  she survived... but you can imagine that household.2. another one in deep denial single man.... would not leave I finally after 6 months of no rent and him telling me he would move etc... we had to do a forced eviction..

Additionally, many FTHB programs are stringent with how much income your household is allowed to generate in order to qualify. 

Median Price: $525,000 +7.14% Yoy - 7ish % isn't unusual, I have multiple ~7% moves since 2016.Sales: 5,344, -10.06% - normal number for September, 2020 was unusually high due to delayed purchases from Covid thus the yoy lossYTD sales: 41,238, +8.36% - highest Sept read I have, houses are selling.Inventory: 5,875, +6.16% - still too low compared to pre-Covid, see stacked chart.New Listings: 6,366, -10.61% - still too low compared to pre-Covid, see stacked chart.YTD New listings: 51,949, -2.47% - prior to Covid we were running 60k+ houses.Months Supply: 1.2, -14.29% - persistently low indicating an unrelenting sellers market, see the Existing homes as a % of households chart, continues to shrink.Cumulative days on Market: 26, -44% - persistently low indicating an unrelenting sellers market

The tenant is the only income of the household?

Based on what I learned from the internet, it seems that the best way is to count the number of rooms in the house and take a percentage of the total household expenses, i.e. we have 4 bedrooms, 1 living room, 1 dining room, 1 kitchen, 1 office, so the office expense should be 1/8 of the total expenses, including property tax, utility, home insurance, etc.  5.