If they do not then you either make the seller get the tenants out before closing so you can assess damage and amend the purchase price or you agree to handle the issues for a steep reduction and plan for it.Any seasoned investor that has been in the game for awhile knows when a seller is trying to drop something on them but get full price.

Because of that, you might want to focus on a neighborhood that fits you, and not just focus on the numbers.Mistake - not assessing the number of competing properties around e.g. larger apartment or condos being built on every corner, which will compete with what you'll charge.

I'll definitely use the forum to assess my deals.

But yes, you are simply part of their "pool" and a perk is their advertising.I am an online specialists- so I am looking forward to marketing things myself and know I can do a better job at it than management company who has 10 other properties.My fear is- who assesses damages, who cleans?

The best advice I can give you is to do a very frank self-assessment of your strengths and weaknesses in note investing and then surround yourself with others that can fill in the blanks.

My question has to do with what fees are appropriate to assess to the borrower in this situation.

Get a college text book, business finance 101, basic stuff, easy reading too, written for high school kids.Hate to say go look it up, but you won't really get it out of forums.Most finance ratios won't be applicable with 100% financing as there is nothing to measure or assess other than asset/debt.

Ferndale's millage rate is pretty high, and their assessments aren't that low either.

They probably bid based on assessed value and didn't see the house.

The first thing I would do is assess the land versus building value and find out which is more valuable.Also look into restrictions for this area; some historic districts require period-era updates, which means you have to keep the original look/style etc.