Negotiating can be at another plateau.Good point made by Giovanni is in selecting complimentary businesses in a building or strip center, allowing a competitor in some areas of retail can be complimentary, in some case you can contribute to a tenant's demise.

Hello BP member,I hope your well.After contributing to the forum over the last 8 months with my own comments and feedback I thought I would compose a post and get you guys give me some comments and feedback lolI would very much appreciate responses from all investors that have bought turn key , looking at buying turn key and also from the actual turn key operators themselves.In your experience what are some components that "The Perfect Turn Key Company" would or should have???

I have seen lenders offer (and close) on loans up to 80% CLTV but that still leaves 20% that you or other equity contributors must provide.I know of an equity investor on commercial deals (again) but they have to be great deals and the General Partner must contribute an equal or greater amount.Can you find other equity contributors that can provide $150,000 to $175,000?

From reviewing the thorough and concise Ultimate Beginner's Guide to REI, to attempting to soak in as many insights as possible from the amazing combined experience of members that contribute to this site.

Thank you all for your contribution.  

As Bill Gulley has mentioned, HUD uses 30% of income for the contribution from their Section 8 tenants; that is pretty close to 3x so we use 3x to keep the math simpler.

Here are the numbers that we generated: Prop ins annual - $1,000 Prop Tax annual - $256 Down payment - 20% Interest rate - 4.75% W/ seller contribution of 4.5%The rent to generate that cash flow would have to be $950 without at PM.

Usually the fee or pay down will be significantly more than just the contribution made by that collateral.

You also can contribute more, potentially.

The tenant pays the 300 in interest and contributes to paying down the note.