It may take you a year or so to get the rents to market rates, and even then a 10% return may be more accurate.

Then find out if the house your looking for exists.

I then laid the napkin on the table and opened it up for everyone to see.

So, in 2 years (the beginning of the 3rd lease) you would be up to $1950 and sneaking up on market rent which will likely be a little higher by then.

Then once you close on the house take out a standard 30 year mortgage to pay off the hard money loan?

I plan on using the VA loan first, then within the 12-18 months move and acquire another property.

He has come up through the ranks as a wholesaler, then fix and flip, and now targeting missing middle new construction/development deals.I'm beginning to research GCs/investors that do this type of work, and figured it'd be worth exploring the BP network.If you deal in this area directly, or have a connection I could speak to, that would be much appreciated.At the end of the day I am trying to get round number hard cost estimates on 2-4plex/Townhomes.

If they refuse to pay for the fix then I would walk away. 

I agree with the others that you can create a written lease that states she is the sole occupant, then kick your relatives out if they try to occupy.

Highly doubt it goes any further than it has if you shut them down and then evict them.