The buyer must come up with the difference between the seller(s) current mortgage balance and agreed upon sales price, plus closings costs. 

If you refinance the property now the loan would be $100K at 20% down and $80K would have gone to repay the original loan.First, if these are your numbers for rehab cost and after repair value, it is probably not a good deal to begin with and you shouldn't be doing it.

(Sales price minus selling costs minus purchase price.) plus maybe 10% in state taxes. 

The rationale being you are reducing your personal housing costs as the rented unit will be covering some of the costs. 

But it's costly, currently I am in the process of setting up ReiReply Power Dialer.

Not cost money each month.

His cost basis at that time plus any extra amount he spent would be his new cost basis.

Depending on the deal's profitability, some will only require you to bring 10% + closing costs to the closing table.

Thank you for the clear cut answer!

Everything your want to know is online, but, if you needed $100,000 or more to pay for Down Payment and all the Closing Costs for a Home, would you really want to even start?