Or do you just keep track of the new cost basis, thereby avoiding the recapture of that depreciation and convert it to regular capital gains?

I would be living under the same roof, different unit.Property numbers that I've thought about:Listed price: $79,0003 units (currently renting at $425, $450, landlord/$0) - month-to-monthRight across from school, in a Class C neighborhood, street on nicely kept residential with regular police presence, but sketchy loan places within 5 minutes and crime map is full of "disorders".House built mid-1800sMonthly ExpensesTax -- $138.75Insurance -- $62.50Utilities --$60.00 (split with girlfriend)HOA -- $0Vacancy -- $60.00 (5% of the time or unless I really mess up Valentine's Day)Repairs (cleaning) -- $100.00CapEx (replacements) -- $100.00Prop.

I’ve had some questions about the security deposit and appliances.

Nevertheless, that's the way it is, which is why when you find successful women in this business they're usually super-successful, because they've done the regular work plus the dumb stuff that most men don't have to deal with. 3.

What will it cost for cap ex, management (when you grow and want this), regular maintenance, taxes and insurance (if not in mortgage) vacancy allowance, eviction costs, turn around costs to make the units rerentable. 

The problem with people looking to partner is that they feel like its a security blanket for them.

Do I need to do anything else other than signing the contract with seller to secure my deal?

Also, you want to make sure you have a high degree of confidence is being able to secure financing post-renovation. 

Depending on loan terms you may still have a claim against the borrower, but you will no longer have a security interest in the property. 

What should happen first, secure financing or put an offer on the house?