The "1.5 rule" mentioned in a post above turns out to be very similar to the "65% of ARV" or "70% of ARV" rules - that "1.5 rule" yields a "67% of ARV".But it does not seem to subtract out any needed repairs, which the MAO formulas usually take into account.As for sheriff sale purchases, property condition is a crap shoot - and you should usually expect the property to be crappy and make you want to shoot yourself if you don't account for condition properly :DIf you can evaluate condition (both interior and exterior) ahead of time, you can get a ballpark figure for repairs needed, and subtract that from the 65 to 70 percent rules.

The "internal rate of return" function in Excel can deal with unequal payments.

(Primarily because it's one of the few things I can do given the very little capital right now) During the school year I'm in Boston, and this summer I'll be interning in Detroit, so I'll be able to "birddog" those two markets.Is this service traditionally done on a volunteer basis?

Like maintenance on the interior?

These are mostly internal changes, but there are some changes that our users may notice.

You should also already have a large database of all-cash buyers looking for the specific property you have contracted.At this point, you then use your contract provisions of inspections to bring your home inspector (ALONG with your cash buyer) to view the interior.

S-Corp financials are no different than those of a C-Corp.There are some "internal" schedules that need to be maintained in order to track the shareholders' basis, but this does not affect the reporting to external users of the reports.

If your goal is to hold until the market rebounds, I would suggest using an IRR calculation to determine what your compounded return is over the life of the investment.I've written a bit about this in the past, with similar examples:http://www.biggerpockets.com/renewsblog/2010/09/02/introduction-to-internal-rate-of-return-irr/http://www.biggerpockets.com/renewsblog/2010/09/15/analyzing-a-real-life-rent-flip-deal/

well there was one willing to pay 4mil and the bank did not like it.. and there was another one interested in it but the bank was being weird about it guess they have someone in mind internally..

Clearly, since the MLS pictures were taken, the seller (the bank) had come in and painted both the interior and exterior, replaced the carpet, and obviously made some additional repairs.