I've also talked with several contractors to verify the home inspector's estimates.

Initially many places will check your credit to approve credit for the company.

Prior to that, you should obtain an estoppel certificate to verify the amount of rents and deposits.

Note: this was not at the 30 day mark but rather at the 1st of the month mark.My initial offer was for $80k with mortgage contingency for a loan of $105k (to cover rehab costs), a 45 day close, and $500 in Earnest Money.

Many new investors don't understand that and don't budget for the initial construction money.

What about this plan:Attend Sheriff's auctions where I will only purchase properties between the initial bid price(66%) and 75%.

., and you found an apartment for $600k with 11,000 sq. ft of rentable space, that warrants further investigation, i.e. cap rate calculation, DSCR, & ROI just to name the major ones.Bottom line when looking at cap rates, here is a standard formula I use initially: Take current gross rents, less current vacancy, arrive at AGI (adjusted gross income.

The 2nd project I would be more interested in, but I have would to take a close look at the numbers and verify everything.

Later though, you will want to verify leasing and get an Estoppel letter or something that verifies deposits and lease terms and such.

I initially started investing after a Bloody Divorce where all the money was taken out of the bank accounts and my name was removed from all the credit cards.