Most everyone can gut a home, but knowing how to estimate costs,  see what needs fixed and be able to accurately estimate  a job, project is critical to you even having a chance at succeeding.

(This one is rolling around in NJ, only cost about $3,000 for the full wrap, and he estimates it has paid for itself 20x over...).  

I saw this one on the hotsheet and sneezed a little at their estimated rents too.That area is actually pretty supportive of closer to $650/$750 for 2 bedroom units in decent shape.

Rehab Estimate (vacant or if resident leaves) 14. 

Call a couple insurance companies to get estimates.

Also, because I don't know much about repairs and costs, I am afraid I wouldn't really be able to accurately estimate what the costs would be and would go broke from misestimating the costs.

Scott The Book on Flipping Houses, The Book on Estimating ReHab Costs http://www.biggerpockets.com/flippingbookConsider checking out HUD homes for small multi's owner occupied gets first crack.

Our capex estimates increased substantially based on what we'd need to do to pass code but also to raise rents (somewhere to the tune of $500K-$800K).

.= $2,600.00 Monthly Maintenance estimate= $340.00 Annual Taxes = $5,984.00 Monthly Vacancy Cost estimate= $75.00 Monthly Maintenance Expense % = 5.00% Monthly Capital Expense estimate= $370.50 Monthly Vacancy Expense % = 8.00% Monthly Property Management Fee $0.00 Monthly Capital Expense % = 5.00% Total Monthly Costs = $4,663.99 Monthly Property Management Fee % = 0.00% Monthly Profitt = $2,236.01 Rehab Costs = $0.00 Annual Profitt = $26,832.07 Purchase Costs = $0.00 Debt Coverage Ratio = 1.48 Monthly Rent $6,900.00 Annual ROI = 26.83% Money needed up front = $100,000.00 Months to break even= 44.72

My mortgage broker estimates I can take out somewhere between $20,000 and $40,000 on this refi.