It is just going to depend on what else is on the market at the same time.If I got 170 and had 126 in and 10% in closing extra repairs etc ( this is a high number)170k  sell 17k closing etc153 net sale126 in costs property and reno 27k Profit If I could get close to the 185, then it would be an easy choice.I need to work on this more to decide which way is better. 

Hello all.I am trying to embank on a joint venture rehab project and contacted a private money lender who want to charge me 1% interest for 6 months on $50,000 loan. 1% interest =$500*6=$3000 plus additional $5000 =$8000 for the 6 months duration with no extra charge at the end.

If you're not so comfortable with yourself, and you feel it may be more beneficial to have the extra support and guidance of an involved partner, then that is the way you should go.

It may sound nice to pay a 5% management fee but the extra fees can add up to be more than the other company that charges 10% with no add-on fees.

Christine,Be sure to give extra time to the Insurance search. 

As Greg said, you should be able to get an extra $50 a month or more for having the garage which would pay for the repairs after a while.

I wasn't really planning on using a private/hard money lender, since I was only going to make cash purchases to the point where I would still have 6+ living expenses and then a little bit extra for unexpected costs. 

Some months we made a few extra bucks, and some months we lost a few.

Nothing was further from the truth -- in reality, it's costing me $1K a month to own it, and I don't have any option to buy it.The expensive lesson I have learned is to ALWAYS buy in a great market.

Especially if you could get that tiny bit extra out of the garage in the back and bring your monthly cash flow closer to $200 a door.