So the initial capital we have now in my eyes and opinion is very important and I want to make sure we invest it with the right things in mind, right strategy, and in a way that is sustainable throughout future real estate investments.- Market = looking for single family homes, 3/2s or 2/1s in try he Philadelphia area since it is relatively close and away from the high NJ taxes.  

Expect to pay between $40 to $60 a sq foot for development costs including engineering, architect, surveyor, permits, utility hookups, etc.

Still, though, there are lots of gotchas, even if your zoning will currently allow the second unit, including:- Utility submeter requirements.- Water and sewer capacity fees (locally ~$10k just for approval per new dwelling unit).- Sewer sizing.

I am exploring installation of roof top solar panels to a) reduce the utility bills (Owner paid utility situation), b) to replace an old roof part of this deal so it can be depreciated quickly!

I have a quick question:I'm doing my third rehab and the new contractor I am dealing with is asking that I connect utilities to the property.

There are no utility leins because when they tore down the house they cut the lines at the road so it would have to be reran if built on.

And add to that the nuttiest elections we have had here in a llooonnggg llooonnggg time ;)  Any one of these going awry can set off the stock market to a sustained downward spiral.

A good tool to utilize is excel, you can evaluate a cash flow in minutes.Monthly payment is =PMT(intrate,term,principle) it would look like=PMT(5%/12,180,100000) This is $100,000 at 5% term of 15 years.Then place your estimated occupancy rate, insurance, taxes, an allotment for improvements down the road into a pivot table to automatically subtract.

That said, don't walk into any situation blind; make sure you utilize all the tools available on BP and always ask questions in the forums when you are unsure of something.

.- it's always good to see another Hoosier utilizing this great site!