This attracts a lot of out of state investors who think that the low barrier to entry and high tenant pool equates to high cash flow at double digit rates as it would appear on paper. 

Downside is split single contract into two, double closing costs and increased mortgage insurance costs.MY QUESTION:Does this sound correct, or is the underwriter mistaken...Do multiple townhomes require their own individual loans for each single unit (even if apart of the same structure)?

The property needs about  $400k in repairs to increase the ARV to 1.5 mill - 1.7 mill.

The seller disclosed the long term leases on two of the units, but only provided the expired, 2 year old lease and the rental increase notices for the other two  and did not produce the additional long term leases that tenants shared with me.I'm in a bind here, I can't break the leases and can't stay in compliance with the loan terms.I've already reached out to my agent, who is fortunately a commercial brokerage with an attorney on staff, but have not heard back.

A little background on the area: it is in a smaller East Texas town that has a great school district that attracts a lot of families.

But having great partners allows me to manage three hedge funds with about $45 million assets under management and my goal is to increase to $200 million in the next 12-months.

It will not increase the sales price by 15k.

Honestly, I am not sure if I am looking in this area because the deals are right or because the prices seem low and attractive to a beginner.

Should I consider having each new tenant sign a new lease with (potentially) increased rent?

So as long as you deliver and/or exceed expectations it’s likely the amount invested will increase over time.2.