Maybe it was good timing or luck, but I was listening to Brandon Turner on an episode of the Bigger Pockets podcast and he said one simple question changed his entire business model.

The Private Market policies are based on different computer models (each program has its own) and hence, the rates can vary and in many cases are substantially less then the NFIP rates.  

Below is a screenshot of the model results but see below for a break out of the assumptions:Purchase price = List price (room for negotiation)Closing Costs = Estimate from lenderDown Payment = requirement from lender @ 25%Interest rate = rate offered on a two unit rental from lender Total rents/Month = current rents in place (room to raise based on market) Property taxes, Insurance, Water/Sewer, Trash removal = all reflect actual amounts paid by current ownerVacancy rate = 10% of gross rent  Cap Ex = 5% of gross rentMaintenance & Repairs = 5% of gross rentMonthly free cash flow = $155Total ROI = 7.14%My question is simple, do you think this is a good deal?

Got appraisal on Google drive.This is where the challenge stopped, but I wanted to keep taking notes4/28/20217:55 PMSent email to the title company to get the closing time scheduled4/29/2021Confirmed closing at 11 AM on May 4th at the title company4/30/20215/1/202111:15 AMGot cashier's check for closing5/2/20215/3/2021Tyson confirmed Oleatha passed occupancy checks5/4/2021Met at title company for closing, collected keys from vacant unit, applied for AMEX Blue card5/5/2021Began providing checklist items to property management, changed electric/gas in to my name for vacant unit, priced out new fridge/range for vacant unit5/6/2021Provided more checklist items to property management, setup new checking account at local credit union, met with property manager and asked all my questions5/7/2021Sent paperwork to City Water to have service transfered, literally have to fill out a form that is a photocopy of another form... this is why St.

It really comes down to what you are comfortable with, but if your agent is quality, he/she would have explained each item in detail and answered all your questions so you could determine how to proceed.  

Below is a screenshot of the model results but see below for a break out of the assumptions:Purchase price = List price (room for negotiation)Closing Costs = Estimate from lenderDown Payment = requirement from lender @ 25%Interest rate = rate offered on a two unit rental from lender Total rents/Month = current rents in place (room to raise based on market) Property taxes, Insurance, Water/Sewer, Trash removal = all reflect actual amounts paid by current ownerVacancy rate = 10% of gross rent Cap Ex = 5% of gross rentMaintenance & Repairs = 5% of gross rentMonthly free cash flow = $155Total ROI = 7.14%My question is simple, do you think this is a good deal?

I would assume this would mean the big ticket items (furnace, HVAC, plumbing, windows, roof, etc.) are in safe working order.

Education and networking will be two powerful items to focus on, especially early on.

Just a few items; lumber prices are up 325%, conduit is up 50%, any product which is produced with materials from one country and assembled in a different country is taking 3x the normal lead time, at best.  

@Lyn Green I was saying that it is a common misconception that you can write off more items with an LLC than not.