Using your numbers, 475/mo rent would make your purchase price $23,750.In some markets though, 2% is pretty rare, so some people use the 1.5% rule.  

You seem to have a grasp on flip profits and taxes, but a minimal understanding of conveyances and liens, interesting combination of knowledge, nothing wrong with that.My comments assume this property is in CA?  

It is 12 years period of time and pretty rare achievement in the world

Perhaps, get the fixed for 30 loan for Murphys law and add the zero down ,no pmi , A property, Denver area....these are winning combinations in my mind.

I assume you want to combine them, solely for the reason of qualifying for OO FHA financing.  

The REIA near Providence I'm familiar with is the RI Real Estate Investor Group at http://www.rireig.com/ and they meet in Warwick on the 3rd Thursday of every month (with rare exception - check website to confirm upcoming meeting dates).

Just remember that you are looking for the rare properties that have equity left in them at the sale.  

However, most buyers want to lock in the future purchase price upon inception of the lease option.During the term of the lease option, the buyer agrees to lease the property from the seller for a predetermined rental amount.The term of the lease option agreement is negotiable, but the common length is generally from one year to three years.The option money generally does not apply toward the down payment.A portion of the monthly rental payment typically applies toward the purchase price.Option money is rarely refundable.Nobody else can buy the property during the lease option period.The buyer generally cannot assign the lease option without seller approval.If the buyer does not exercise the lease option and purchase the property at the end of the lease option, the option expires.The buyer is not obligated to buy the property.Basics of lease purchaseBuyer pays the seller option money for the right to later purchase the property.

Hey @Zack Parker I can tell you that anecdotally, these are rare in LA County.

So for now I'm going to hold tight and keep an eye on my market.My goal is to put away some cash that, combined with money I can access off my current home's equity, I can sometime in the future put down a 25% down payment to take out an investment loan to purchase a property.