First, see Sch-C vs Sch-E.Second, the appraisal is not performed based upon EITHER schedule.However, the GSI-Expense = projected NOI, times 0.37 is actual NOI and that has to cover the mortgage+interest, insurance and taxes.The high vacancy rate (1.00 - 0.37 = 0.63) is a killer and usually, you would take such a loss ONLY because you would be year long resident AND love the life style - - aka it's typically a bad 'investment' and you're making this choice for OTHER than financial gain.

Don't baby sit and set the bar where you EXPECT the tenants to perform. 

In those instances, your new floor will usually not perform well over time because it doesn't have a good base. 

He breaks down in great detail the things you want to think about and the analysis you need to perform.  

He advised me he wants all his property to bring in more than $700 a month and this one is under-performing.  

I've come to the conclusion that 'wholesalers' should always be ready, willing, and able to perform on the terms of the contract.

Love to see some actual numbers on how your property performed vs what they told you it would do...

great jobive been a licensed journey plumber holding licensing in Oregon, Washington, Alaska and Idaho for over twenty yearsjust being in the trade will get you leadsgo out and make a offer, find a place that needs some work and scoop it upyou have all the trades covered if you need to do rehab workits nice to see a younger person getting into the trades, all us old guys are getting to stiff to perform those jobs anymore and there are very few young hard working people aroundthe service price will keep going up so you will make a great livingenjoy

This places the duty to perform on the contractor, as they give you a time suitable to them. 

So it's a very low performing investment for the amount of capital I have tied up in it.