That doesn't mean it's a bad deal, what do the numbers say, as others posted.None of those things you mentioned scare me and aside from the septic, all are quite minor.- Failed water flow tests - no problem, new pump and you're good.- Carpenter bee infestation - no problem, easy fix.- Termite infestation in the garage - no problem, easy fix.- Leaking pipes - not a huge issue, would investigate to see if water damaged caused (although this probably would have made the report if there was already damage)- Bad roof - no problem, easy fix

I'd say a lack of deals that meet most investor's expectations locally.

I would love to hear what you have to say as well.I am taking some previous advice & going to seek out a local investor's group ( to Rhode Island)

I would say, a basement is generally less desirable than above ground space but if you throw in a private bathroom it would be a bonus that might off-set the living in a hole issue. 

@Amar Pravin It depends on if your buying all new or if you start out with used stuff off Craigslist.I'd say a range between 4k and 10K depending on used or new.

Is something like below adequate or should they have say a 3-5 day Inspection period or something? 

Is something like below adequate or should they have say a 3-5 day Inspection period or something?

Hi Scott,Don't underestimate the profit you can get from a small deal.Bought correctly, not only will a small deal (say a 4-unit building) gives you the experience, if you got the property at the right price you can 1031 exchange it to a 20-unit building.That's how I came out of bankruptcy - started with a 2-unit then worked myself up to acquiring over 1,000 apartment units.Another option is for you to partner with an experienced investor but the downside is you're going to either give up more equity (or profit) or you're going to put up all the cash.You can structure something like this:Partner A (you) - puts up 100% of the cash and on the loan and does 50% of the workPartner B (expert) - also on the loan (so he is also liable) and helps you qualify for it given his experience and he also does 50% of the work in addition to coaching you on your 50% of the workThen you guys split all the profit (cashflow plus equity) 50-50.

The syndicator is trying to offer high split to investors on upside to get going.I have seen say a 65/35 split sponsor but property is 50 million going in and has upside equity growth of 20 million so sponsor could make 7,000,000 back end promote.Smaller property deals 50/50 is common for seasoned investors as sponsors.

I have several people that have applied and when running their credit reports sometimes say a married couple ( the husband has decent credit of 620 but the wife only has a 504.