We had to have proof that we performed significant improvements to the property in order for them even to consider it.

Never heard of Queensberry rules.

If you are planning/needing to make any improvements to the units, it would be wise to factor in 11% (6 weeks/yr), at least initially.I'd go $300-$400 higher on the insurance, and $1000 higher on trash. 

Must make significant improvements.  

@Adam Hollandsworth The great thing about real estate is that there are no rules on how or when to get started, all it takes is motivation and coordination with your team (bank, realtor, etc) to close on a deal.

They put a band-aide on the house doing as little as possible to improve the property before they resell it for the average comp.

They put a band-aide on the house doing as little as possible to improve the property before they resell it for the average comp.

They put a band-aide on the house doing as little as possible to improve the property before they resell it for the average comp.

They put a band-aide on the house doing as little as possible to improve the property before they resell it for the average comp.

It is going for 109,000 I want to try and get it for 90,000.Monthly gross rent-$1650Expenses Tax-264 a monthWater- 100 per month estimatedHeats-100 per month estimated insurance-100 per month estimatedvacancy-115.50 (7%)Capex 82.50 (5%)Repairs 148.50 (9%)Management 165 (10%) P&I 386.51Garbage 50 per month estimatedTotal 1,511.68 Monthly Cash flor 138.32COC- 6.64% Pro Forma cap rate-4.84%purchase cap rate- 7%2% rule 1.70I don't know if the seller would accept 90,000 but its a smaller place needing updating and has been on the market for about 130 days.