If you are going back and forth about high points between two lenders and miss the extra "fees" that might be charged by one, you are missing the point.

Dec 2018Rehab 10kCash out refi’d to new loan of 152000 which covered down payment , closing, and rehab recoupment April 2019Cash flow 619 per month4th2 unitPaid 219 dec 2018Rehab 16Cash out refi’d to new loan of 240,000 got back down payment, rehab and little extra.

It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees.

I'm sure the GC would like to make at least 10 to 20% of the project costs which would tack on an extra $10k to $15k.With all of those assumptions, you can see why I don't think $70k is an unreasonable estimate for the project.As JScott recommends in his book, when estimating costs for projects you need to put together a detailed list of every repair and then price out each repair. 

However, you can compensate for this by buying with a deep enough discount to account for the extra time and money.

One idea would be that you could build houses with detached garages and if the tenants don't want to pay extra for the garage, you could rent those out to people who aren't tenants. 

I am fully aware of the extra paperwork and costs that come with LLC ownership.

I’m renting 2bd/2bth apartments in Redwood City for $3400, and yours is a townhome near google, I’m assuming with private garage plus the extra half bath. 

Sellers may only show numbers that will help them sell the property anyway, so it’s best to be skeptical of everything they show you and build in some extra expenses regardless of what the seller claims their operating costs to be.

Thanks @Tim Herman, what if borrower pays extra that goes into principle?