If they are gutted the city or county might require adding sprinkler system and other items that delay rehab and drive up costs.Your main issue is selling a turn key investment.

And I adjust the expenses by removing items that are related to the seller’s financing (unless I’m assuming it) such as Amortization and Interest.

I would be doing traditional financing on the property which would not be a problem given my current job, affordability wise.Do I seem way off on my eval at 105-110?

These types of things I do point out and tell them if I have a plan to upgrade at all and what that process might look like.I feel that I do not have the time to waste to neglect items in a property not working how they should.

Mary Joe,That too has been thrown out as attempting to benefit the IRA and personally.Your example is only valid if you are talking about a traditional IRA.

LLC If you own a property in an LLC then sold it how will more of a traditional form of insurance be of any help if the buyer sues for non disclosure or your rehab construction defaults months after the close?????

Didn't show my own projections on additional items and "what-if" scenarios that I've run so the deal meets my own parameters.

My understanding is basis is supposed to be the LESSER of one of the below items, minus value of land:* actual costs* fair market valueOr am I wrong on this?

When you start ripping things apart, many times you will find additional items that need to be replaced.

By studying real estate investments and using tools like this forum I feel like you can make smart decisions to continue building wealth and continue the tradition of passing on income producing assets to family.Best of luck to you!