but I place tremendous importance on this annualized return figure.

I plan to turn it into a long term rental and will have tons of questions on rehabbing.I've listened to every podcast (which helped me tremendously in my RE classes) and bought The BP book by J Scott.Been to a few REIA meetings and networked with people.I want to give back so here is my quicktip.

We also speicalize in researching and finding properties for our clients using the tremendous relationships we have with brokers.

So, if you're in the 25% marginal bracket and your state/local taxes are 9% (for example), you should keep aside 34% for taxes.That said, this is tremendously conservative, as your marginal rate will only apply to your highest amount of income (most income will be taxed at a lower rate as marginal rates are on a sliding scale) and you'll likely have deductions that will offset some of the income.So, if you set aside this amount, you should have some left over come tax time, but should also be good in a worst case situation.If you want to be more precise, fill out a 1040 with your actual income and deductions after each project and see where you stand.

It's helped me tremendously.

The power of small daily action is tremendous.

By doing the renovations and the new construction, we were able to increase rents in the older building by more than 30% which obviously helps NOI tremendously. 

You are correct that the commercial underwriting focuses more on the financials of the property, and can in some instances have more flexibility with underwriting standards, but banks still care tremendously about the finances and track record of the investor/borrower, even on commercial loans.

I've learned a tremendous amount of valuable information here and credit much of that to the generous sharing of knowledge by all of the experienced investors here.

Based on the level which you renovate there is only 1 ARV.However given that how well you renovate the property can vary tremendously, there are a variety of ARVs depending pm the end result.So yes, to generalize a property renovated to a rental level would have a different ARV than a property renovated for a retail buyer, which could be different still then a fully pimped out renovation.