You can use a line of credit to perform a majority of the rehab and then pay it off once you refinance.

If you must resell at a 9.5% cap rate:                                                     Year 1              Year 2               Year 3           Year 4                Year 5IRR Before Tax                         -45.20%            -7.54%                6.68%          13.02%              16.17%"If you can resell at an 8.5% cap rate:                                                     Year 1              Year 2              Year 3            Year 4                Year 5IRR Before Tax                           3.09%              17.12%            20.84%          22.03%               22.33%How do I go about performing such an analysis?

No one can predict the future, but if you'd like I can send you a market update of how Neptune real estate is performing YTD compared to other nearby towns.If you do decide to pursue Neptune, my office just listed 3 properties there (one single family, 2 multi family) all at 60-65% of assessed value and for $175,000 and less. 

I also was advised to talk to a lawyer about holding the closing company liable as their email servers are rarely as secure as they should be and are targeted as a result by scammers. 

I personally prefer a legal position involving deeded ownership or secured lien position; however almost any real estate activity can be profitable given the right set of circumstances.

I see you are in Tracy and I'd be interested in how similar areas perform. 

Per my contract I stated that the owner needed to establish a 6 month lease with the first floor tenant in addition to raising the rent and collecting a security deposit.

Maybe he wants to pay his mortgage to secure a large HELOC for property investments, thus becoming his own banker, which could be the best terms he can hope for.

https://secure.

Make sure you get the security deposits at settlement.