Also, would I be able to borrow enough with the new mortgage to rehab it or is that usually with borrowe money like credit cards and smaller loans?

Also, its usually only fixed for 5-7 years compared to 30 years fix.  

However, if you are incorrect and you have a negative cash flow property you bought because you thought you would make it back in equity and the market turns down you will eventually fail6) Over-leverage - If you buy too many properties and something happens (market downturn, property problems) the bank will foreclose on you.  

It can be difficult to get your buyers in to see the property and usually landlords that are motivated tend to have problem tenants. 

A really cold winter could really impact those numbers negatively.

Our commercial jobs usually need permit when moving electrical, especially if they're metal studs.

To determine the cap rate 1) Calculate the yearly gross income which in your case is $68,520.00 check the books make sure rent roll shows the rents are as stated.2) Subtract the operating Expenses not to include mortgage and interest =$28,936.803) Net Income = $68,520-28,936.80 = $39,583.204) Cap rate = Net Income divided by purchase price $39,583.20/400,000= 9.8958%Investors usually will use cap rates to compare properties in a neighborhood.

I am saying so, because usually, the bank, after accepting my contract, sends back a "seller friendly" contract of their own that needs to be signed and returned before a deadline.

I agree with Tony -- the 1% is my usual rule.  

I am just doing the usual introduction of myself here.