Private lending doesn't have to follow Fannie/Freedie guidelines, which is good as there is less red tape. 

You'll be in the red after accounting for vacancy, repairs, CapEx, management, taxes, and insurance.With a BRRRR you can push to 75% of ARV, if the deal is otherwise solid.Don't get hung up on what percentage of the asking price you're offering.

But if there is a red flag, I would break the bad news.

Here are a few reasons why Section 8 rubs a lot of landlords the wrong way here in NYC and will probably continue to.Annual Property Inspections/ Too much red tape.If you do fail the inspection, you will be given a list of items that need to be fixed.

The biggest red flag I see is your expected ARV.

After accounting for vacancy, repairs, CapEx, management, taxes, insurance, and debt service, you'll be in the red every month.You might have better luck with a MFR, preferably 4-unit.

Series 1 (blue) is data from 2019 and Series 2 (red) is data from 2020.  

I went through a lot of red tape to keep mine as a STR. 

Here are a list of "Red Flags" to look for:-Tall Grass                                                         -Vandalism-Boarded up or broken windows                         -Locks everywhere on the house-Mailboxes filled                                                -No curtains or blinds-Code enforcement taped to the door                 -Looks empty on the inside-Piled up newspapers                                         -Paint of the house is peeling off-Bad roofs/tarp                                                 -The gutters are falling off-Lack of personal items (no porch furniture, garden decorations, etc)-No cars or tire tracks                                        -House looks outdatedThose are a few examples on what to look for when driving for dollars.If there are other signs you look for, I would love to hear them!

Up-front fees are the biggest red flag in lending.