The typical formula is that the buyer doesn't want to spend more than 70% of the ARV (After Repair Value) minus the repair costs. 

The only missing part of the success formula is EFFORT.

The numbers skew a bit from the standard formulas since you'll owner occupy, but still looks good overall.

Using the cash flow formula above, locate a one or two rental properties that you could put 20% down on, making sure that you still have ample reserves for the future.

so this will give you time to pay down the loan, the value to rise, and not get you caught in a short term trap. 2. 70% of ARV - repairs is the house flipper's formula.

The formula I use to sell deal in hours is this:ARV x .70 - Repairs = wholesale priceIt is critical to nail the ARV down solid, here's the formula for that:3 comparable sales within a one mile radius that closed within 90 days and are within 200 sqft of the subject Make sure they are LIKE property.

Found an REO and will use J Scott's flip formula but want to live in the house.

What information do you look at and what "formula" would you use to determine what you think the right offer would be?

I have modeled long term portfolios of properties though based on pulling equity out (through refi) that was used to acquire additional properties but the IRR formula is still the same; the net cash flows positive and negative over the life of the portfolio including the initial investment and the proceeds from the final disposition.

My question is, is there a formula for structuring a lease option offer or owner financing offer?