There are impact fees which drive up costs, etc.My strategy in today's market would be only buy the existing duplex if you can generate positive cashflow meeting your return requirements.

What is more desirable is a subject-to purchase which is subject-to the existing financing remaining in place.

-Steven the Tax GuyYour guide to IRS laws, rules and regulations

You might be able to do it more quickly if you're just paying off the existing loan.

-Steven the Tax GuyYour guide to IRS laws, rules and regulations.

Here are the expenses (annually):PITI : $7,800 ($650 per month)Property management : $3,300 ($275 monthly)Vacancy factor: $1400 (2 unit, 1 month per year) – highly sought after areaRent loss: virtually non existent – good tenants with good creditTotal of $12,500 in expenses per year not including capital expenses$33,000 - $12,500 = $20,500 per year (minus capital expenses)This would make my expense ratio around 38%Am I forgetting anything here?

or just putting new air in existing heat unit?

There is industry along the river that provides a not so bright picture of the area, this needs to be regulated and the business' need to be held accountable.

-Steven the Tax GuyYour guide to IRS laws, rules and regulations.

-Steven the Tax GuyYour guide to IRS laws rules and regulations.