I beleive rent will be counted as debt since that's one of your normal bills.

I would have more issue with your mindset about normal LTR.

@Sohrab Ansari;  @Scott KroneScott's points are really valid.One deal I looked at, they did not show property taxes, normally one of the biggest expenses. 

Is this normal? 

Normally the HOA dues will kill your returns, so the numbers almost never make sense....that's usually the first problem.Other problems are:1.

so its not really helpful to use things like the 1% rule - find out what the normal buy is in your locale and use that as a guide. 

@Eric OlsonWater, clear water, cheap, Real estate people normally don't think of these, easy to bulldoze and land scape.Sand and Gravel pits are great also.

On the flip side, it seems like there are a lot of "wholesalers" who are just trying to get around normal licensing requirements, in some cases with the specific intention of exploitation.If you're upfront with both the buyer and seller and you actually intend to follow through on the purchase whether or not you can assign it, then I think it can be a useful way to structure a deal and there's nothing wrong with it.

Based on how a normal deal is structured, the cash on cash return in minimum at best.

From the topography, it is obvious that the storm water flood on the street was due to a heavier than normal thunderstorm and not due to "incidental clogged" storm water drain.