The earnest money never goes to the actual seller.

Pretty much everything is negotiable in real estate.Loan Origination is how much the lender is going to make on the file (if direct lenders: this is typically a junk fee; if brokers: this is your loan officers compensation).Points: this is the cost for the rate itself (if direct lenders: this can be negotiated, as they manufacture the rate sheet with profit baked in; if brokers: the rate is the rate, you are getting bottom of the barrel pricing).Credit report/appraisal: these are the actual costs -- no money can be made.

We've seen a large influx of OOS investors over the last few years due to the low price points and ability to actually cashflow, while still seeing appreciation over the long haul (I don't think many primary markets check all three of those boxes with the current state of the economy).

I'm guessing you've already looked at your expenses and cut all of the extras.

One cool thing about the 203k is, although the FHA loan only allows the property to be up to 4 units, you can actually buy a 5-unit or 6-unit and convert it back down to a 4-unit, and it will still qualify.  

Running numbers you actually see he makes much more sense with this method.

It actually will be negative!

Hi Joshua, I'm glad you posted this, since I'm actually into that position right now.

They need transition housing I guess, since their permanent home is available in 2 months.

Property 1 is purchase of 80k and 10k in repairs, property 2 is 40k with 30k in repairs.I'm thinking of different options on how to fund and I'm not sure what options I actually have and/or would be best.