To me, that’s a negative but maybe this is what they mean when they say your first deal doesn’t have to be a home run.Property Snapshot:1920 Bungalow1000 sq feet/6000 sq feet lotRehab cost $75k Foundation needs leveling (Pier & Beam) Needs new roofNeeds central HVACNeeds additional square feet to convert into more useable 3bd/2baDeal Snapshot:Purchase Price: $60k (paid at time of cash out refi/sale) Rehab: $75kARV: $420kEstimated Rent: $2000 - $2200With 5% on R&M, CapEx, Vacancy and 10% on PM plus taxes and insurance/flood insurance I am barely breaking even - and that’s without even any “play money” for the next property, only repaying the $75k rehab costs and the $60k that the partner needs for personal expenses. 

The neighborhood and class of house has some baring.

Ask anyone in Detroit and they will confer there is literally at a bare minimum, one rehab in progress on every street of every block in Detroit.

If you're going to pigtail in some copper wiring, just make sure your connections are really tight and coat the bare wires with an anti-oxidant grease (like Noalox).

AND barely not enough to cover the living room and kitchen but thinking of putting it in the bedrooms, it's commercial grade (you have to glue it) at about .60/sq ft, this is top of the line flooring.

see if upstairs resident can put in area carpets to reduce overall sound transmission in the rooms instead of bare hard wood everywhere.

Also, person A and B are living in this house at the time.

There is a couple on youtube who claim to be financially independent and have a bunch of rentals, but the funny thing is when they went through the actual numbers; they were barely breaking even and most of the money they made was through youtube and some side gigs.One big thing is if you own your own home-outright, no mortgage. 

For those who haven't used the site, it is legitimate (at least for county tax sales) and not as misleading or scammy as some foreclosure type sites like auctions.com, but buyer beware/do your own research of course applies.The most promising deals (especially if they have a house in any condition, as opposed to bare land) obviously get some attention from other investors - so if there is significant equity & the owners/heirs are easy to locate - they typically don't make it to the county tax auction.Of course some of these (more attractive or single family) properties will go to auction anyway- either because the $ amount of various liens (most are cleared after county tax sale- do your own research in your state) is higher than the value or the owner/s heirs are too hard to locate..

Usually don't have a problem with room-mates, but they need to be clear that they're JOINT/SEVERABLE liable for the rent.That means if A and B are splitting the rent, if B doesn't pay, A owes 100%.In addition, the new tenant needs to pass your screen.