They would simply buy a house, higher a contractor, and pay the money to fix it up and live in it, but because we are selling a $185,000 home to a customer that can barely get approved for a conventional FHA loan they will not have the resources to get approved for a distressed property and pay an additional $25,000 cash for rehab.

The kitchen faucet barely flows.Hot water does not flow on any of the faucets or showers, the hot water heater filled up, turned on, and heated up.  

@Eliot Adkinsfrom what I remember most off campus housing at OSU was so deplorable, unsafe and the rents so high that parents would do anything to get kids into new nice buildings and out of the old buildings barely standing with on street parking on the border of the crime ridden ghetto neighborhoods.

I actually have have more than one question, so please bare with me.

Even at the price point you mentioned, this would barely cover down payment and closing costs. 

He decided that instead of waiting for a rehab, (and I couldn't bare to actually sell this cash machine), he was satisfied with a hefty cash wholesalers fee.2014 - Bought 140 Windy Hill Pl duplex for $47k, Rehabbed.

So then I jumped in commercial.Everything you said is correct but their has to be a reason why you ar buying low, rehabbing , selling , holding.AlexPM me If you have more question more then happy to help answer to the best of my ability .Bare with my speliing and grammar 416 am here .

Dividing insurance and taxes indicated above in half and then accounting for a bare-bones $100 in monthly maintenance Year 1 has a negative cash flow of $1884.

But I have rhyme to my reason just bare with me. 

If you're barely cash flowing each month could this turn into negative cash flow in a downward market?