Could have great rent escalations or not, you may have needed to provide some TI which will eat into your rate initially but provide higher rental income and longer term commitment from the tenant, or you could've walked into a fully operational property.

They will work , eat , watch some tv and sleep .  

Does the place have a lot of deferred maintenance that is going to eat it not hat NOI for the first few years?

If debt, make sure it's not too expensive or it may eat up your profits quickly as you will likely be holding for a while as a 2/1 (renting or resale).I think the area in general is probably better suited for rentals where you can do a lower end, but still quality, renovation (at least for the rowhomes / might be a little more margin on a single-family purchased at a low price).

-I am being financed through a hard money leader that with an interest rate of 12% for 70% ARV, which eats a very big chunk of my potential returns.

Seeing people eat nutritiously for me is fulfilling.

If we were beating her up over the commission, my guess is she might have to one of her other investors.I have also had our agent eat costs that might otherwise have gone to us.  

Of course it is set aside for anything damage deposits don't cover, and cap ex, though I'm leaning toward flipping every few years to avoid cap ex, as it will eat you alive if you hold forever.

Wallace, what am I researching, I know its in a flood plane and the insurance will eat any positive cash flow.  

Those can be the best kind because someone else paid for the exiting build out, training employees and weeding through the duds, stabilizing and creating a history of sales over time you can track,etc.Those businesses have already created multi-generational customers from the grandfather,father,and son to eat there.Great business opportunity is generally where the owner is wanting to retire, has to relocate, health problems, partnership split, divorce causes division of assets, bankruptcy sale, etc.You want the business to throw off great cash flow on it's own and be established but get the discount because of external operator issues.