With the fifth, you have to two years of tax returns per per property, six months reserves per property (in addition to your down payment) and a FICO north of 720.

You will build reserves to fix stuff (the capital expenses) if you factor in the 50% rule (you can find the discussion on the BP forum).As far as deferred maintenance, the seller doesnt get a free pass and cannot dump it on the unsuspecting buyer.YOU get estimates for heaters and new roof, and take it off the asking price.Somewhere in the middle, you will reach a deal.

I have started lining up my reading, and Larry Loftis is now on reserve for me at the library!

Put the $ in reserves, rent it out for 2 years & then sell.

And then after all of that 98% of the time the properties they are "auctioning" postpone or have a secret reserve price that results in it reverting to the beneficiary.What is the point?

We have a large sum of cash reserves.

You must expect to have some expenses like, but your analysis does not account anything for that category.I see no mention of reserves; over time, things in the building will need replacement (think heating systems and roof); reserves are important to have so that you can incur the cost to replace those systems down the road without putting yourself into financial stress.

I will also be doing marketing to all medical professionals on the condo units (though we are still in planning stages so I can only take reservations on those) If you are interested in the area around St.

I'll live in it for a year or so and the tenant rent will pay for everything (taxes, insurance, mortgage, vacancy/repair/reserves).

Unless you have a large bank roll and sufficient reserves to cover living expenses, you may not want to jump in full time from the start.