If I were you I would figure out what the commercial banks lending guidelines are and pre plan my exit strategies on how I could refinance out or sell or option the property out just so you'll know the strategies going in.Most commercial lenders want a min loan amount of 500k or higher since it takes them the same about of due dilligence work to originate a 500k note as a 2,000,000 note in terms of human hours and work.There are some local lenders or niche lenders who might be able to entertain a loan on 540 value 9 unit property perhaps at a lower LTV.To address your question about the terms of seller financing, I would first determine your desired rate of return on your capital of $135,000 down payment.Since we know the NOI is currently 33,424 the difference between this and your annual mortgage payments will be your annual cash flow so first determine what that might be and then you'll have a position to negotiate from.I would then add a margin of error to my desired number because during negotiations you might have to lose some ground to come to an agreement.Hope that helps.

At that point the guidelines are to tarp off the area and contain the spread of lead materials.One of the nice things about removal and replacement is that once the material is completely gone, there's no real disclosure issue.

Then sociologically you should peel the onion another layer, why that trend exists in that geographic location, maybe it is a subsedized housing market, with income guidelines, possibly at or below poverty level.

Buyers/sellers are much more sophisticated and require less explanation, assistance on paperwork, and knowledge on common guidelines.

And of course, every property is different and the 50% rule is a estimation guideline, not a true rule.

What is a good guideline to use in terms of budgeting for repairs?

Obviously it is not a game and you do not want to gamble, but if you know you want the property and are prepared to close quickly with cash, then go as BIG as you need to on the terms in your contract without offering a price that is so high you eat into your profit margin.

This subject comes up all the time my sujestion is to find an appraiser or underwritter ask to sit down and tell you what they look for on all appraisals, the appraisal is ment for the lender and the guidelines are in place by the two government agencies.

One is that there are new guidelines in place that say if the house is a primary residence and the debt is from either buying the house or improving the house, then you won't owe the taxes.

New Penn Financial offers financing that is outside of agency guidelines with competitive rates (not hard money).