Having a good contractor (on the team or not) is essential to avoid this.I’m not sure about your State, but you should be clear about general contracting rules and regulations, length of liability, license and permit requirements, etc. before you start flipping OR make sure these responsibilities are included in the list of responsibilities of your contractor.If you’re going to partner with a contractor financially (equity share) and you both create an LLC, I’m not an insurance expert nor lawyer, but I would be clear (signed/notarized documents) about who is doing what within the Partnership Agreement.

I think there may be Fairfax county rules against this, but I am wondering if anyone has an idea of how loosely/strictly those rules are enforced.

I think there may be Fairfax county rules against this, but I am wondering if anyone has an idea of how loosely/strictly those rules are enforced.

Rental comps for 2BR units in the area are $965/mo.Assuming I purchase the property for $135K, invest $10k in improvements, utilize a 25% down/30 yr mortgage, and achieve 80% of the total market rents (from rentometer) + 7% vacancy/attrition, this property looks to cashflow approx $400/mo with a 9% CoC return and 12.5% total ROI.My questions are the following, not having much experience in analyzing duplex deals:- How would I accurately estimate rental income in my area for a duplex, if my area is mainly SFHs ?

One of our things on the list for improvements is gravel for the driveway. 

I currently work doing exterior home improvement and was planning on doing a lot of the rehab myself

Also, what is a good 'rule of thumb' when it comes to an Earnest Money Deposit?? 

This has been a general rule to investing for my entire lifetime, and Im middle aged.

It may not be an issue, most banks will count your rent as income once the property has been rented for 6 months so that will improve your debt to income.

After 15 years of investing my #1 rule is never buy or create Alligator properties (negative cash flow) - Regardless of Appreciation.