The variance in percentage has to do with a combination of several factors.  

Craig, More Factors here than what you have listed, but for a QUICK Evaluation in Self-Storage: 1.  

Compounding interest is a beautiful thing. 

With all of these factors coming into play.

@John Arendsen I think that this is the beauty of the crowdfunding industry - those rules don't necessarily apply.

But I met a father son team at investor meeting and they are buying up city houses and rehabbing them beautifully to rent or sell to another investor..Its win win as homes are being rehabbed nicely and there is a decent profit margin because these homes in the city are low cost to begin with.This particular multi family was a Craigslist ad..Thanks for your reply

@Kodie Altvater costs are ultimately a factor of 2 items, if you're efficient: labor+ materials.the goal is to arrive as close as possible to just those 2 factors with as little add-on as possible. add-on being profit, a companies overhead, etc. labor and materials are unavoidable (as well as other stuff like permits)....so how does one arrive at those costs?

I wholesale for the time being although I have done a beautiful rehab.

Make sure you factor that into your numbers. 

One of the beauties of real estate is the passive income you can create by deploying that capital.Another option is to deploy that capital as transactional funding or hard money loans.