When you add in things like rewiring, replumbing, roof replacement, HVAC replacement, siding replacement, replacing all windows/doors, replacing cabinets, replacing tubs/showers, etc, things tend to get much more expensive, even in lower-cost rehabs and areas where labor is cheap.Personally, I'd use $15/sf for a full interior cosmetic rehab, but for a *full rehab* (including all the stuff listed above), my numbers are closer to $30/sf.That said, as a rehabber, you probably want to be much more precise than just a price per square foot...as a wholesaler, this *may* be good enough, but it's still important to know when a rehab will be $15/sf versus $20/sf...on a 2000 sf rehab, that's a difference of $10K.

Since when did internet forums become so precise and picky, surely you could have interpreted that I did not literally mean "all".I am not certain the second part of your question.

That would be precisely the time when I would most want that rental income.Do you feel investing in Detroit was still profitable for you overall?

Calculations that are 'precise' are not necessarily better!

Actually, to be more precise, we look at the LOAN TO VALUE first.

I'm wondering if anyone here can explain the reasoning and comment on the formula's validity.He says, "The precise formula is that your loan-to-value ratio multiplied by your annual constant must be lower than your cap rate to get positive cash flow"so that's,LTV * C < CapRate --> positive cash flow(C = Annual constant)He goes on to define the terms like so,LTV = Loan/ValueC = (annual payments) / (loan balance)Cap rate = NOI / Price NOI (Net operating income) = income - expensesIf you do some algebra you can restate the formula as,(loan/value) * (price / loan balance) * annual payments < NOI --> positive cash flowBeing somewhat simple minded I would have thought that the formula for positive cash flow would be simply,annual payments < NOI --> positive cash flowBut I don't understand the multipliers on the left side,(loan/value) * (price/balance)Can anyone explain to me why they should be considered?

Admittedly the breakdown isn't ultra precise as I wanted to see if we were even in the ballpark before getting much more detailed. 

Ryan - that's precisely why I would never accept investor capital from out of the area to invest in Lima.

Hello BP Community - Precise market timing is impossible or at the very least extremely-difficult to attain (otherwise we would all be multi-millionaires/billionaires).

The more information you give and the more precise it is, the more accurate quotes you can get.