A quick formula you can use is your estimated purchase price times .0134. 

You could also purchase below market value. 

Consult with an attorney to provide a purchase and sale agreement in your respective state with an assignment exhibit included. 

Quote from @Parker Bullard: I'm looking to purchase my first investment property and need help figuring out a strategy that will work for me.

I am looking into purchasing a second (vacation) home and would love to hear your thought on the pros and cons of going a conventional 30-year second mortgage vs. using a HELOC or Home Equity Loan on my Primary Residence to purchase the second home outright. 

Reno Scenerio Off Market Purchase Price - $185k ARV = $315-335kReno - $55-65kHolding - $10kClosing both ends - $25k= $335 , $315-$285 =$30-50k gain  As-IS Scenario Purchase - $185kSale Price on MLS :$225- $235kClosing both ends - $20kHolding - $4k= $235 - $209 =$16-$26k gainIn both scenerios I’ll be 1031ing it into a new investment.

Purchase price: $160,000 Sale price: $170,000 Contributors: Peter Vekselman Partner Driven and Jamari Sprueil secured this Dover Ct property in Riverdale, GA, for $160,000 and successfully sold it for $170,000 on the same day.

What's the purchase price? 

Gain is your net sales price minus your adjusted cost basis (purchase price plus capital improvements minus depreciation). 

Narrow focus - I know the zip codes I wanted to purchase well.