The reason many investors fail is due to renovating units to satisfy themselves.

We were never completely satisfied with the level of service that we received; however, on several recent transactions, the service was really poor and we felt like our business was not valued.

Unless an emergency repair is needed in a unit (you save your cap ex for that) or if you can significantly raise your rents with minor renovations, do not touch this money.Continue living on your regular W-2 income and do not touch this money until you reach a level of passive income that will satisfy you for a long time.

I have been told by local inspectors that the city would prefer the back house be torn down, and that I would be unlikely to get any building permits approved (in essense, I would be prolonging the life of a building they would like to see go away).It is unlikely that you would be able to split the property, unless it satisfies current street frontage, setbacks and minimum lot size requirements, and asking for an exception would be a very long shot.You can't look at this property's ARV as if it were two sparate properties.

The max price I worked out I could pay for this property is 160,000, so I worked out an offer and sent it to the seller this morning, it is as follows155,000 sale price14,000 down141,000 seller finance @ 5.75% is about 820 payment.at this price the numbers would satisfy the 50% rule as well as 100 a door.

First the banks are trying to satisfy new and revised regulations being handed down on an almost daily basis by government bureaucrats.

But, she wouldn't return my phone calls and likely already had a buyer in mind for the property (and was just listing it to satisfy the bank requirement of listing the property).My wife and I drove by the property, and the guy living there was out front getting his mail.

My intent is to hold the property long term and continue to buy up properties once I satisfy the 1 year OO for the FHA financing.The 4 plex consists of four 1 bedroom 1 bathroom units all on the same floor.

Proceeds of the sale would satisfy his lien first and the remainder distributed to us based on the terms of our agreement.This leaves two unresolved challenges for me.1) I want to be fast and nimble on the ground with buying materials , paying contractors and misc expenses.

Title insurance will have been predicated on the existing mortgage being satisfied, of course.