The difference has been very minimal, but I think it will more accurately reflect changes in costs over time.Mark, its great to hear from someone in that area who has already been investing! 

While I have no doubt that cash-buyers receive a discount to some degree (in fact- I witness it everyday and regularly represent clients who are beneficiaries of this) I think that the extent to which it's reflected by this study is a bit overstated due to a hidden variable:A lot of cash purchases are made for value-add deals, or other cases where the property might face obstacles to financing.

You only have to look at this thread to see how many people are stopped in their tracks by this issue.The only issue is to get the property at a price that reflects it's undesirability with all the utilities as one.

The structure should reflect that risk allocation.

The contract does not have a clear provision for rent increases.The rent has never met the 1% rule, but it did reflect market rent initially. 

Im still learning too so dont have alot to add but don't forget beside the hvac, electricity would have to be rewired as well so the meters or circuit breakers would be reflected accordingly.

Tuam in 77004 is lower area then Montrose area we previously discuss.The feedback im seeking is about the buying criteria and end Cash on cash.If one doesn't allow for the minimum 8% for Maintenance + 8% for capex + 8% vacancy + 10% for property manager + HOA, + work that require on purchase... then the numbers looks much better - But that doesn't reflect the REAL cash on cash picture.Any further feedback would be much appreciate, please keep the discussion going.

If your post is a reflection of the overdrive your brain is in, I feel for ya !

I'm closing on a 4-unit in 3 days and just today got the closing docs updated to reflect the prorated amount of rent for remainder of August and the deposits due to us.

If the property was sold through the MLS, befriending or paying a realtor can get you the information If the sales was not MLS and you feel like an owner occupant more than likely bought the house,  you can go to the County Clerk website and the Deed of Trust will reflect the amount of the loan which in many cases is very close to the sales price