Now it's not really "profit" because the expense should have been factored in but we'll leave that for another day. 

Khan in that the 10/15 year notes work for my situation over the 30 year notes, even after factoring in what I could potentially contribute out of pocket.  

What other factors do you tend to consider?

@Tom LippsAnother factor to consider is the type of tenant you will rent to in a 2BR VS a 3BR.

Looking to redesign a kitchen layout and design the layout for a unfinished basement is there a app/website I can use?

I have been curious about this as well,  especially since I am a woman....wondered if it would make a difference...I have a friend who has had a few rentals in the past and he felt that his big and tall frame and his look made a intimidating factor...he also was quite handy on beign able to fix things...where as I am everything the opposite...so I have also exercised the idea of pretending to be some sort of manager....I like this question.

I've been a landlord in Portland for a few years and I'm also an interior designer.

It isn't a neg am loan since those don't exist any more and didn't last year either so, none of those scenarios would work for how the balance could be twice the value (Or any factor above the value).The only thing I can think of is that you don't have a copy of the appraisal done when the loan for $3.2MM was done.

Hi Christine,While I personally would not be interested in a property that does not cash flow (or will cash flow after some rehab is done), if you are playing the appreciation game I would make sure that the property at least breaks even when all the costs (including vacancy) are factored in.If you are at least even, you are having someone else pay down the mortgage which at least still makes you some money, even if it is tied up until you sell.

If you're factoring in what the equity build-up is over time, your cash flow, and the amount the property appreciates (be realistic), you can calculate your IRR (Internal Rate of Return) which takes into account all of those factors; not just cash flow.