Hi @Mendy Blasberg, I would also recommend verifying any income assumptions made by the seller against bank statements and also ensure that you get an inspector that can cover all of the high ticket capex items e.g. boiler, roof, foundation etc.

Hello,I am currently looking at two SFR as my first purchases in a seller-financing deal.I don't have that much $ as the private lender I was working with backed out.Approximate value of the properties: 100,000-120,0002 bed 1 baths. 1,080 sqftage of roofs Unknownexpenses: 575 - $702 583 - $793Taxes: 575 - $1,938.85 583 - $1,463.98Insurance: 575 - $302 583 - $240Lease Expiration 575 - June 30, 2020 and 583 - October 31, 2020Rent: 575 - $950 583 - $880Appraisals: unknownHow do I structure this?

Kitchen update, new roof, adding bedroom Lessons learned?

I went in and replaced the roof and windows while also doing a gut cosmetic rehab on one of the units.

So if you have it insured for 70000 and to rebuild it is will cost 100000 you will be missing a roof and kitchen!

So in the worst case, I'm living for free.Other variables: It's a 1-acre lot that's zoned for multi-family and has enough leftover space that I could use someday for a triplex or just divide it and sell.New roof in 2019, new hot water heater and HVAC within the last 3 years.The utilities are combined so I'd either have to include it in the rent or work out another solution.I think I can get it at $120,000 with either 15% down on an investor loan or 5% down on a conventional mortgage.Taxes: $950Insurance: $1200I would manage it myself for now.In my various scenarios, I either run $1000 a year for expenses for living in the main house and renting out the MIL suite or up to $3000 a year in expenses for the student rental scenario.

They might know that the property is going to need a lot of repairs and it won't be financeable under anything other than a rehab loan.

All under the roof you own. 

Seller paid all closing costs, repairs, and new roof on building.

Instead of 5 separate houses with 5 roofs to maintain, etc, you only worry about one roof over everyone.