Based on your explanation, it looks like I fall into category 1 since I plan on repeating this strategy at least 2-3 more times.  

Great explanation @Kevin SobiloSome other BRRRR nuances:It is easy to underestimate your rehab budget. - make sure to get bids from multiple contractors.It is easy to overestimate your ARV. - Have an agent pull recent It is easy to underestimate the rehab timeline. - whatever a contractor says, expect double lol

I think you have to ask yourself what kind of housing quality do you want as well as th geographic area. 

Thanks for the explanation. 

It depends on your tax situation, and here's a detailed explanation:  https://www.biggerpockets.com/forums/51-tax-legal-issues-con... 

Something that I like about PDC is that it's a more mature market and its geographic location makes beach access very simple, I like the walkability of the city, and since it's in the middle of two golf courses so downtown growth is limited. 

I'm interested to hear Martel's explanation of the inconsistent numbers.

Ask for a breakdown of fees and an explanation why the interest rate increased.

Also, how did you choose your target market, was it your own geographic area or something else that lead you to another area?

@Bonnie Low I appreciate your response and detailed explanation.