lol My lending partner is working on a second home for an investor in the area, he might have an investor friendly agent referral for you and a local PM that can help with projections.

You can remodel a nice home much cheaper that a duplex, get better tenants, better appreciation and MUCH less work.

Don't forget to take into account additional closing costs for the next transaction as well, as I'm assuming the purpose of the no prepayment penalty is to refinance if rates improve.

We are going to be buying property and building a spec home shortly and need to understand the pros and cons of doing this deal through an LLC vs. as individuals, from a tax perspective.

In my head I'd want to buy a property cash or creative terms with a private money partner for the home and maybe a 2nd partner for the furnishing and start-up funding.

Now comparing a C class home with a B class of course the C class will have a higher repair factor but that is across the board no matter who the tenant is.

We rented a home to three adult brothers just over a year ago and just signed the lease renewal. 

I will be renting out the home to an individual who will be sub-letting the home to an Assisted Living Facility.

Go conservative ) - Holding Costs (loan payment, utilities, insurance, etc) - Rehab Costs (you will have a good handle on this) - Closing Costs (you will pay closing costs on both purchase and sale of home)  - Profit (minimum you would want to take on the risk.

Also we rarely do structural changes in the first time home buyer space we work in because budgets dont typically allow.