If you consider the deal independent of the financing, and evaluate it at 100% financed, 6.5% for 30 years, and 50% for expenses you're at $220/month in positive cash flow, or $9/unit/month.

That's a lot of one-bedroom units and I would CAREFULLY evaluate if demand will support that.

Clearly, though, if taxes are $200 and insurance is $50, that estimate is too low.For evaluating the deal, you should assume 100% financing.

You are to evaluate properties the same no matter where you live.

I don't think there are any hard money lenders left who will evaluate only the deal.

I meant that the calculations for evaluating a rental property, aka the "50%" rule, applies pretty much everywhere.

Since most of these folks show little on their tax returns, the loss of stated loans put them on temporary hold, and they had to re-evaluate how they invested.

After a few months of evaluating, you should be able to find a few folks that you can grow a relationship with.

The reason why I brought up this discussion is because I feel it is good to take a step back and evaluate our positions on a regular basis.

Usually you would include only the principle and interest in the debt service.For the initial evaluation, ignore PMI.