Insurance: The Lessee to pay for and maintain fire and extended coverage insurance on said property for full replacement value of the property naming Lessor as the insured and Lessee as an additional insured party.Q: Is this needed since I will not be taking title and this isn't an installment sale? 

This is also how I would sell him on the deal.Estimated Minimum Closing Costs $5,500.00Estimated Closing Costs Based on Prop Value $5,500.00 Repairs/Construction $10,000Total Loan with Seller Concessions $100,000.00 % Down Payment 20.00%Down Payment $20,000 Remainder of closing costs $15,500.00 (this assumes you are paying for the renovations out of pocket)Total Due at Signing $35,500 Mortgage Rate 4.75%Length of Mortgage in years 30Monthly Mortgage payment $417.32 Taxes $100.00 Sewer and Water $- Trash $- Heat/Utilities $- HOA $30.00 Cap Ex and Ops $150.00 (this is your future roof replacement, hot water tanks and other major items)Insurance $250.00 Mgmt Fee $140.00 Vacancy $113.40 Total Expenses $1,200.72Total Revenue $1,400.00 Cashflow/month $199.28Cash on Cash Return 6.74%

How would it be possible to add into the closing costs the cost of a septic tank replacement?

In Calif with a licensed MFU 5+, the fire marshal requires working CO+Smoke detectors and annually replaced extinguishers.In 2013 a cigarette lit the couch on fire and we suffered $95k damages. 

I have a good job and in order to stop doing what I'm doing (or doing less of it), I'll need a monthly residual income to replace it.

Hello everyone my name is Jake Hattock I am a 23 year old civil engineer working in Lenexa KS .

You can post there and it won't show up in the search engines and this would be a good place to post if you want it to be hidden from public view. 

So we ended up buying a few of the family’s properties and hired C to continue to manage them all.C was a teacher who wanted to do real estate full time, since we could not replace his teaching salary with PM fees at this point we agreed that we would try to ramp up during the school year so that by the following spring we could afford to replace his salary.

Add up the cost to replace everything over the next 30 years, then divide by 360 and add some padding.

I was thinking replace the interior doors with exterior grade door with weatherstripping and then carpeting the stairs.