Closing February 15.  157 days to close.So the moral of the story is that title can be complicated. 

(You may be able to go lower which would boost your returns.)Cash out of pocket is $200Kx25% = $40KYearly Cash Flow is $900x12 = $10,800Cash on Cash return is $10,800/$40,000 or 27%If your numbers are right, I don't care about property valuation, that is a pretty good CoC return. 

Terrible moral situation to be in, however.

It should not be part of your operating expenses, but located "below the line" as a reserve taken from NOI in a manner similar to your debt service.To be conservative in your analysis, I would boost the vacancy allowance to 10%,   Have you accounted for garbage collection (or is it provided by the municipality) and grounds keeping?

This can really boost the amount of money you get out of a refinance. 

In addition, I was able to boost rents to $3040/month between the 3 units altogether.

No hike in rent will ever boost your returns more than a 2 year lease renewal.

Great deal for me because it helps boost my savings while teaching me about the business at the same time!

The downside is you have to disclose, you will carry more liability as an agent because you're supposed to go about business morally, ethically, and legally.

Moral is, if your referred contractor is within your price range, why would it bother you how much he is making or who shares his income?