Good heads up @Aaron Mazzrillo One of our NY attorney acquaintances implied that LB Paint litigation is going to be 'BIG, very BIG' !!!

When I first moved there in 2002, I lived on Kilaeua ave just above Wikiki on diamond head, and I remember seeing people buy the old 2x4 frame open air houses, which had 1/2" plywood for walls instead of drywall, for over 500k and knocking them down to build a block house.

I just made these up but I can tell you are headed for a potential disaster if you're not very careful.

Not many people (especially talking heads that publish any of this crap) saw the RE market crashing last decade.

And Mel Watt is now the effective head of both.

(although we learned a lot in the process)Not taking a time off work to help my wife get the rental ready the day the tenant moved out.Not addressing tenant issues head-on but looking the other way.Not installing a water detector alarm to a known common problem.Including details of tenant responsibilities without an upfront process detailing what happens if they are not followed.Not getting involved with BP and REIA until late this year.(2014 will be much better!)

I don't know about experts Bill ;-)I'm still not getting my head around this from Zac's lenders perspective ... not certain I'd want to take on 100% (purchase plus rehab) of the risk for 10-12% interest return.Partnering with an eventual earn/buy out maybe ...

Thank you all for the correction, somewhere in the back of my head I knew it was 25%, not sure why I was running the numbers at 10%.Taking that into account, adding a buffer for utility and lawn care during vacancy and adjusting upwards for PM vacancy costs per Harry M's suggestion, here are the new numbers: Purchase Price: 81500 Rental Income: 1300 - Current.

Sounds like you have a pretty good idea where you are heading.

On course on glide path, heading to success