You sell a piece of property that has profit in it and using the 1031 process purchase new replacement real estate.The only potential impact is that profit does not equal equity. 

I had a similar situation in JC where the tenant didn't want to move out and wasn't paying rent so i asked the seller for a reduction in price equal to 3 months of rental payments and i would handle the situation after we closed.

Building community with dinners, parties, and group outings also becomes vital.

It is the interest payment for 6 months which equals around 5k.

The apartment of 15 might be much cheaper.Everything equal?

Continuation from Part 1 of this series: https://www.biggerpockets.com/forums/44/topics/723267-apartment-financial-underwriting-part-1-of-a-2-part-seriesApartment Financial Underwriting - Part 2 of a 2 Part SeriesInvestment Yield RatiosIn Part 1 of this series, we covered the basic organization and structure of an apartment proforma, income and expense summary, and a construction cash flow schedule.In this 2nd part, we'll cover investment yield ratios that we utilize as a professional development company, to analyze the return characteristics to determine if a project is worthwhile in our initial underwriting, as well as, provide final financial return reporting on completed projects.In the development business, these are the major financial ratios used to measure investment yields on equity investment by professional developers, institutional level and mid-size equity investors:Internal Rate of ReturnEquity MultipleROI or Cash on CashInternal Rate of ReturnFirst, the textbook definition:Internal rate of return (IRR) is the interest rate at which the net present value of all the cash flows (both positive and negative) from a project or investment equal zero.Internal rate of return is used to evaluate the attractiveness of a project or investment.

We know the original loan amount that was taken out in 2002, and IF the payoff is equal to or less than that amount we will be very happy!

Federal, State, and Local Government....so that existing homes in bad condition will not adversely affect property values of newly rehabbed and newly built homes, while simultaneously making the existing residents part of the growth of their community.Also there should be measures put in place to protect existing residents who cannot afford increases in property taxes, such as the establishment of Community Land trust.REVITALIZATION DOES NOT EQUAL GENTRIFICATION.

We opened escrow, did the title work and got a bank appraisal (which concluded that the present value of the property equaled the purchase price).    

That being said, money is the great equalizer and understood by everyone in all languages.