Hi all,I was doing some market analysis in the Albany area and have been finding insane amounts of variability in prices.

Oftentimes, a house hack won't have massive cashflow, but you have to consider the other variables that are putting money in your pocket:#1 Every month you own it you are paying down the principal.

I guess I am asking; knowing the situation why would someone still buy knowing these variables..Is there opportunity in buying notes this way?

Cash returns have two distinct aspects that are intertwined.1️⃣ The ability of the asset to generate free cash flows (Operating Income) 🔼2️⃣ The amount of cash available to investors                ➡ Operating Profit                       $376,453               ➖ Mortgage Payment                  $280,511               🔀 Cash available to Investors       ($4,058)3️⃣ Cash-on-cash return               🔀 Cash available to Investors      ($4,058)               ➗  Capital Invested                  $1,407,000🛅 Cash on Cash Return 💯                           (0.29%)This calculation enables investors to compare the returns of different real estate investments and gain an understanding of the profitability of the investment 💡 .Key variables influencing cash on cash returns. 

You cannot account for all the variables that go on in a conversation with a stranger.

Property TaxesAnnual4,000 InsuranceAnnual1,200 Maintenance & RepairsAnnual2,796 UtilitiesAnnual1,780 AdvertisingAnnual300 AdministrativeAnnual0 Variable Cost PM(% Income)10%Fixed Cost PMAnnual0 Other 1Annual1,200 Other 2Monthly

Determining whether to do a cost segregation study or not has a lot variables.

This protects all parties because changes can be the result of many variables (I.e. architectural design errors, unforeseen code compliance discrepancies, etc.) and can potentially result in neither the GC nor the owner footing the bill, if handled correctly. 

Its 80% LTV at prime plus 1 rate (variable).

I would most likely try to structure it as interest only (keeping it more simple with variable interest) with a guaranteed minimum interest rate of the 5 year treasury and a balloon payment at 7 or 10 years.