Set to be completed in the Summer of 2017.The Following Info is according to the information from the Developer:Purchase InfoInitial Market Price: $700,000Purchase Price: $649,900Initial Cash Invested: $187,475Income AnalysisNet Operating Income Annually: $52,484Cash Flow Annually: 22,847Financial MetricsCap Rate (Purchase Price): 8.1%Cash on Cash Return (year 1): 12.2%Internal Rate of Return (year 10): 19.6%Sale Price (Year 10): $896,059Rental Income is forecast to be $1,400 per unitUnits are 3bed, 2 bath and a garageUnits are 1,600 SqftI feel that the seller is optimistic on some of the numbers so in my calculations I have increased expenses (CapEx budget, management Fee at 8%, Insurance, Utilities) and I have also increased the vacancy rate from 3 to 5.2%. 

After the presentation I immediately upgraded my mentality and account from a "normal Joe" to  PRO to enhance my experience and utilize all that BP has to offer. 

I also question the expenses on vacancy and utilities rates.   

Greetings all,I recently (within the last hour) spoke with a property management company looking to obtain typical utilities rates in the Malden and Winthrop, Massachusetts area and the response I received to my request took me for a loop.  

Utilities are paid by tenants (gas & electric)  This building is in a C/D neighborhood.  

I could rent it out to another tenant, but this tenant right now doesn't mind living there and paying for all the utility costs, which is fine by us. 

Make sure that  all utilities are turned the day you close the property (provided electrical and plumbing are inspected and in good and safe order).  

We've been using a property management company for the duration, and I suspect that they would have a pretty good idea of some deals to be made.I'm just not sure how to utilize this equity that is available.  

What I think I'm going to is attach this addendum I found online that specifies I'll be sub-metering the two units using option (b) formula based allocation:"If a Utility Bill is sent, each Utility Bill shall be based on either (a) an estimated or actual reading of the sub meter for Resident’s Unit, OR (b) the previous month’s actual bills for the Utilities for the Property allocated to Resident pursuant to an allocation formula based, in whole or in part, upon at least one or more of the following components: the number of Units at the Property, the number of occupied Units at the Property, the square footage of the Unit, the number of occupants in the Unit, and the number of bathrooms in the Unit.

If so, ask them for a line of credit for the amount that you planned to utilize.