While I often disagree with MikeOh, his advice/analysis on this deal is close.When it comes to commercial multi-family units, it is very difficult to operate below the 50% OE.One thing that jumps out at me aside from the obvious "proforma" gross rents is the very low insurance rate.

Considering there has been this episode of seepage, are future episodes more likely to happen more often?

Most tend to be six to twelve months but, some are less.This has been my approach to seasoning with houses that I have rehabbed and tried to sell...First, I work closely with "investment mortgage brokers" because, they tend to have better relationships with lenders that don't have strict seasoning standards and often times they work with smaller lenders or private lending groups that don't require seasoning at all.There is usually a catch though.

We are electrical contractors so there is little difference, but there are some areas I can give examples:Homeowners want a Square D QO panel which is rated the absolute best for safety (and has been for years), rentals want Homeline or low end equivalent.Fixtures can make a huge differece - $4.97 Home Depot special for rentals, selection process for Homeowners (HOs) to pick the perfect fixture as per their individual tastes.HOs may want Decora style switches or receptacles (sometimes in screwless plates or specialty colors), REIs want economical, standard in white or tan (stock).REIs often have very little hand-holding.

I often get 10 of these mailings a week, and they go straight to the recycling bin, no matter how persuasive the marketing.

How often has the government done something only to have it backfire?

The biggest mistake you can make right now is paying cash for props if you want that cash back within 6 mos.Even after 6 mos you will be limited to the amount of cash you can get AND the LTV will be a lot lower than you are expecting often leaving 30-40% of your cash locked in that house.Always have a note and deed of trust on a prop when you purchase - not one of your companies but maybe a friend or colleague - so that when you are refinancing you are paying off debt.

Often more money in the deal for YOU.

My advice is:* Have you USP (Unique Selling Proposition) to Sellers be: I can close in 5 business days,* Have PLENTY of Tenant Buyers before you buy the houses* Get ONE major player for a business partner.

I hope to be available as often as possible.