If you can get it below market and lock in some equity right off the bat, and if the rents pay for expenses plus a little extra (at the very least), then go for it!

Not your problem, in a sense. that was his business that started and did the eviction, not yours. as Thomas S.said, that should have all been prorated for the closing. but that said, as a business that is an expense that the business had to pay. your Lawyer ,as Greg said, should be able to straighten that out.

allende,let me ask you this, what are you going to do with a broken down list of expenses?

I follow what you are saying somewhat and most certainly agree that your house is not an asset and is our biggest expense.  

Making sure every expense and future Cap.

They are asking 299,900 Land locked, no room for expansion.Total Income     22,187Insurance              189Liability Ins.           767Interest Expense   174Loan Interest     10534Labor                  6400Repairs                 646Supplies                90Taxes                 2532  (Not sure what value amount this is on)Telephone            841Utilities (G & E)     802******I talked to commercial lender today and he said they require 30% down, financed commercially at possible 5.3 to 5.6% + for 15 or 20 years.  

Now let's look at the numbers (Monthly)Average rent/unit = $775Gross Income with 94% occupancy = $24,02550% gross income for expenses = $12,012Bank Mortgage payment for $1,875,000 @ 4% 30 year = $8,952Seller finance $375,000 for 6 years @ 4%, with interest-only payments = $1250Private money loan payment for $300,000 for 6 years @4% also with interest only payments = $1000Subtracting all expenses and debt service from gross income gives me = $811 in cash flow which I would set aside to use only on the property.

Sod is not that expensive.

You might be lucky to break even after all expenses unless you're only looking for an appreciation play.

The reason I am having trouble with this is because when comparing condos, chances are they will have the same Cap Ex and Vacancy numbers even if one is more expensive than the other.