I did not put in any figures for value increase because I prefer to err on the side of being conservative.  

(Value-add, reposition, 5, 7, 10 years)In general, I would err on the side of caution when you are underwriting 4 unit properties and below (quad/duplex, etc.).

It's always better to err on the side of caution as far as building your reserves goes. 

@Steve Babiak I'm with you on that 100%.Ultimately, it boils down to how conservative you want to be - there is definitely a place where I too would err on the side of caution, but this example isn't ever close to that point, as far as I'm concerned.

And I think your estimate for vacancy is a bit high (Anchorage has a very low vacancy rate overall which is why I am buying my property here rather than in the States) but I DO want to err on the side of caution with the higher estimated rate@jamescash I was wondering how the comps for mulitunit rents compared to this.

So you want to get a copy of that recorded mortgage and examine the name and property address that the mortgage is attached to; if it is erroneous you work with the lender to correct it. 

you always want to err on the side of caution because once you start opening walls you will find things that you didn't expect and you can't go back and change your purchase price.  

His explanation was that the attorney fees had not been paid so that was the reason why the statement went out erroneously.

Not knowing much about the industry I erroneously thought it was a terrible time to get involved.

Yes, that was my erroneous reasoning as well.