We have come across a peculiar issue which I am sure others have or are going to experience.I am a tenant in CA (I am also a rental property owner, just not this one) and my landlord is refinancing the home in which I reside.The lender gave the owner a set of guidelines as far as the appraisal process goes and part of this process is that an inspector/appraiser has to set foot in the home. 

We have come across a peculiar issue which I am sure others have or are going to experience.I am a tenant in CA (I am also a rental property owner, just not this one) and my landlord is refinancing the home in which I reside.The lender gave the owner a set of guidelines as far as the appraisal process goes and part of this process is that an inspector/appraiser has to set foot in the home.

It sounds like you have some friends who all like the idea of real estate and some have gotten started, but if you are trying to band together to reach a viable dollar amount it will end in fights if everyone is not equally footing the bill.

(None/Light/Medium/Heavy/Full) Heavy Square Footage 1,501 Rehab Price/Square Foot (Refer to Key on Right) $ 35.00 Total Rehab Estimate $ 52,535.00 Total Cost (Purchase + Rehab) $ 182,035.00 MINIMUM Down Payment Required for Purchase $ 6,371.23 Conventional Loan Amount (Total - Down payment) $ 175,663.78 FULL OCCUPANCY CASH FLOW Est.

Compare the sold price per square foot on the 2bed versus 3 bed.

He listed the property for $435/sq foot, the market at that time for comparable properties was $475/sq foot (he listed at a discount intentionally in order to drive Buyer interest). 

I understand a range that wide can make the deal riskier with just not knowing where the ARV could really fall.With that said, I’ve recently been using all the relevant comps (about 4-8 comps) to get an average price per square foot.

Is there a population density formula to determine if there is room for another one or not The industry average is 8 square foot of storage per person.

This is a 10,000 foot view of the strategy and there are lots of moving parts that go along with this, but the point I am trying to make is that you need to become great at analyzing deals and don't be afraid to jump on a good deal if you find one!

You would really get off on the wrong foot with your new residents if the day after they moved in the power went out simply because they forgot to call.