If you're buying at 15%, there's a good chance that's about what it will end up being, all things being equal.

@Bret HaburaHere are the general considerations regarding 401k loans.401k Participant LoansIf your 401k plan allows for 401k participant loans, the maximum loan amount is equal to 50% of the balance up to $50k.

If the reports come back good, then I refund them the fee on the first month’s rent (reduce the first month equal to the cost of the background and credit check).

I feel like it's easy to over complicate this and I've confused myself unfortunately :)..The definition of IRR being the discount rate that makes NPV equal to 0 makes sense to me.

Our thinking at this early stage is to setup an LLC with 50/50 equal share.

If two offers are equal and one has no inspection contingency, of course the seller will pick the one that has less risk (no inspection).

This way I could cover any maintenance/vacancy issues that might arise.For example, if I was buying a $150,000, 4 bedroom/2 bathroom house and my PITI payment was $1000/month, I would want the rents for each room to be $500/month (3 rooms times $500/month equals $1500/month).The criteria I eventually came up with was:-For a 3 bedroom/2 bath, I needed to find something under $130,000-For a 4 bedroom/2 bath, under $200,000In my area, the 4 bedroom/2 bath was a more possible scenario.So, I began looking on Zillow and listings with our local REIA.

I'm choosing to do so because even though they will take a larger % of my commission, I've heard that not all realtor groups are created equally.

You have to decided if it’s worth it to you to deal with getting the tenants out.Or maybe, if you’re confident in your ability/intention to buy, offer him equal to 6 months of rent as a non refundable deposit. 

Borrower shall open its primary operating account with the Bank with a minimum quarterly average balance equal to 50% of its monthly rental income.