Unless this is owner occupied you aren't going to be able to do much better than 20-25% since it's multi family..... exception being you have the funds to buy cash, do the repairs cash, and then do a cash out refi once repairs are completed.

Starting now also might allow you to classify things more as repairs than capital improvements.

It takes into account the repair cost, the holding period, and the after repair value. 

Unfortunately, now I got an "order to repair" from the city (and not complying will result in fines) but repair is out of the question - simply not worth the cost.

Even if you need cosmetic repairs, that may cost more than $2M.

4 bdr house with 2 bath, remodeled kitchen, no major damages or repairs in FullertonSqft: 1377, 6018 lotPurchase price: 460,000Closing cost: 13800Down payment: 92,000 20% downMonthly mortgage: 1864.60Rent income: 3000Property taxes: 421.67/month Insurance: 100/month Vacancy: 100/monthCapex: 150/month Total expenses: 805Financing: 1864Income: 3000Cash flow:~330ROI:3.74So this is just me practicing for a property in Fullerton.

However, he refuses to repair it at his own cost.

There is just a little less room for error when dealing with a smaller park as you don't have as many lot to absorb a vacancy or an increase in water usage(even if you can collect)..or some repairs to do etc.Good job on negotiating them down so far...for me i will still have to go lower and look something like this....200*18*12*.5/.1=216k purchase priceI prefer to pay lower than this based on a smaller park and limited upside potential based on your observation of market lot rents.  

No other liens.Estimate $75,000 to repair house, trailer and barn/yard for a flip.Owner is open to owner financing.

Here is my latest dealDuplex 2 bd - 1 bth identical 1500 sqft 2 garage hardwood and vinylBuilt 1961Rent 800 moCentral coolingHeating forced air1200 sqft basement unfinishedBoth units Currently occupiedSeller Asking price is 135,000Doesn't need much repair maybe cosmetics How much would you offer?