Address: 8177 Garfield Ave Hunington Beach, CA 92646IF i were to buy this for 2,300,000Cap rate: 4.56Bed/ Bath: 1/1 x 8 UnitsRent: 2000 x 8 Expenses: Property Management Fees - 1000Repairs/ Maintenance - 319.14Real Estate Taxes - 2875Rental Property Insurance - 766.67Vacancy Costs - 1333.33Capital Expenditures - 960 Total monthly expenses: 7254.44Financing: Down Payment: 20% - 460000Loan Amount: 1,840000 @ 5% interest rateClosing costs: 69,000PI/Mortgage: 9877.52Cash invested: 529000Total Monthly Cashflow: -1311 = 16,000-7254-9877.52ROI: -2.57%The point of this excersise is for me to recognize bad deals.

The back-up plan is to simply flip the property and take the cash out now for the next project.The Project (2 unit Multi-Family):Acquisition/rehabLand Acquisition:     275k (I'd use my cash to buy)Hard Money Loan:  100k (I might use my home equity line at 4% APR over 20)ARV:                           465k (This is my best assumption based on other comps)Refinance:                348,650Cash out:                  26,250Income:Rent:                         1800x2 (This is conservative)Capex/Maint.          300x2Expenses:                400 (water/trash/electric/sewage/insurance)Using these numbers the property looks like it generates a COC return of about 30% per anum (on the 26k outstanding).

Hire your own title company and get title insurance.

Homeowner in this area, and I own one property in Dorchester, and hopefully closing on another in that same area of Ashmont sq. in the coming weeks. 

The exemption is for protecting small multi-family homeowner's from the woes of a bad tenant and creates flexibility in finding suitable tenants, who thus, are living in close proximity to the owner.

For my business, I still use a title company for the deed transfer and insurance etc. 

I'm in the process of getting an HO6 insurance for my rental property.

Don't  forget insurance.  

However, my rental cash flow pays for my primary residence (mortgage, taxes and insurance) and an extra $300/month.

In our mind this will likely not be recoverable from the builder or association but hopefully a shared cost between both home owners insurance.