Maybe on a per pic/hour basis with the material going through you, otherwise maybe a flat monthly rental.If you have a good idea, sandbag, never give out 100%, that keeps you in the loop.

I'm looking for profitable 2-4 flats where my wife and I can live and rent out the others.

A lease option is one strategy, if you start changing one to financing or a longer term, or requiring the tenant to assume maintenance, you're not in a lease option situation, a land contract or contract for deed becomes more appropriate, a subject to deal could better be used or just flat out seller financing becomes more appropriate.

The returns and distributions are excellent (2.0 multiple) but will be delayed until year 4.Ideally, if I had enough capital in my self-directed Roth IRA I could just purchase the unit with those funds and have the distribution return to my Roth avoiding taxes altogether.

It's a 4 flat 3br /1 bath.

Look at if the water and sewer rates per gallon have stayed flat, gone up, or gone down the last 5 years.Water (liquid gold) you are looking at 60% expenses and not the typical 50%.54,000 x .60 = 32,400 = 21,600 NOIAt a 10 cap you are looking at a value of 216,000 for resale before commission costs and buyer concessions.At purchase of 150,000 and projected repairs being more 50k I don't see the value in this deal.

THE DEAL:Nice neighborhood in Chicago.Sell price 305,000Bank owned 3 flat with garden.3/1 and 1/1Will use FHA and put between 3.5 - 5% DP.Annual Gross income = 43,200If I use the 50% rule I am at a 7% Cap rate by my math.I will update the property ( it needs it - cosmetics - and is vacant now ) using some instant equity that will be built into the deal - will appraise at 360,000 as is - put 35k using that equity and increasing rents by 10 - 12%.Trying to close by 12/20.

I am looking for a 6 flat or bigger.

I believe the home prices will grow slightly but overall remain fairly flat.

They create a policy and then, instead of just scrapping the policy altogether and selling the homes to all buyers from the get go, they're going to write a second policy to state they are no longer going to prosecute the 12 month requirement.Whats the point?