The second unit, with an asking price which was higher than mine, had major issues, both cosmetic and structural.Keep looking, you will find something.

Since you are quite a distance from the property, you would do well to hire the services of a professional property manager, unless you are able to manage the property from afar and have the chance to visit the property at least twice a year for routine property checks.

I calculate: MPP= ARV-FC-profit-rehab-safety netie 66k=120k-12k-20k-20k-2k66k=MPP120k=resale value12k= fixed cost when using no mortgage20k= my desired profit20k= a very very rough estimate of rehab on a "level 2" heavy cosmetic rehab2k= just because I am going to make mistakesRemember, this is not about a particular deal it is about what $range$ of deals I should be intersted in if i want to be ALL IN for no more than 100k All in all my conclusion boiled down to purchasing for around 55% of ARV and my MPP being 66k and under. any thoughts and notes are much appreciated!

-Taxes-Insurance-Property Management-Routine Maintenance-VacancyJust to name a few.

They should make suggestions for minor cosmetic work that will make the house more appealing.

I'm hoping you guys can help me analyze the deal.3 bed/2bath 1600 sq ftAsking: $90kLoan Balance: $90kARV: $95kCurrently Monthly Payments: ~$600 (said he had to look for exact amount)Repairs: Minor/Cosmetic if anyIs this a good sub 2 deal?

Unlisted Jackson, MI 49203+8000 Sq Ft lot                 3 bedroomSingle Family Home             Basement$35,000 Needs only cosmetic workMessage me if interested.

3 Unit1 – 1 Bedroom2 – 2 BedroomsSingle Bath in eachExterior Great ConditionInterior needs minor painting/Cosmetic Previous Owner Paid 40k in 2008Tax assessment – 40kIt is a distressed neighborhood but decent property for that neighborhood.

If you are considering buy and hold, I would suggest starting with a light cosmetic rehab instead of a huge project.  

It's getting to be a routine: every year or two I purchase another rental and re-read rich dad poor dad :-).I'm lucky because I grew up learning good from bad in REI from my dad who is very successful at it.I wish you the best of luck and offer to share my opinion on any deals or ideas you have.