To clarify, the parents will receive their monthly payments on lending us 80% of the funds needed at 6% for our purchase, and 20% of the money lended would be an equity partnership where the parents would see their returns when we refinance. 

The 1% rule really doesn't apply here in California as we're more of an appreciation-based state.If you're willing to wait to see the returns until you sell, we've probably still got several years of solid appreciation in Sacramento / Stockton areas because of all the Bay Area migration into the Central Valley.

If you are looking for a place to invest disposable income and get a moderate return higher than that of the stock market the answer is probably yes.

The hit jogged me just a little bit and added just a couple more things to my trauma list as a child. for the next couple of months i began having memory flashbacks to memories that as kid were suppressed.

NOI divided by the rate of return on a similar property in the area (Cap Rate) equals the value.

A computer with all solid memory is recommended.

@Jamie Hall  Ask the following questions to all potential brokers (in addition to commission splits, fees, etc.)  1)  Who will be my mentor, what is his/her experience in total # of MF transactions broken into buyers/sellers, how available is he/she, and what expectations (if any) will he/she have in return for advice (beyond commission split)? 

Prodigy Network - https://www.prodigynetwork.com/ - for investment in New York City Real Estate. 10,000 USD minimum, aprox 10-18% estimated IRR, Annual Preferred Return 8%, 3-4 years.

In general, our first year returns for financed purchases range between about 17-20% including cash flow and loan paydown, and go up from there as tenants pay more and more principle each year.

My primary interest here on BP is that of becoming a flipper/rehabber; I love the idea of taking something less ideal and making it beautiful for a family to live in and make great memories there.