I am wondering if you have considered looking in Everett(former Seattle resident here) which would have a lot bigger market for potential tenants and potential lower house values in certain areas to get better returns.Remember depending on taxes, condition of property, etc the 50% is just a gross estimate.

Hi Shaun,I like long term private money off of credit reports, no PGs, and in land trusts for privacy so I do not own anything when lawyers check (lol)Cmon, do an asset search, I dare you!

My understanding of MCR is as follows: This number is (usually) an appraiser's best guess of what another investor would be willing to receive as his net ROI for a purchase in a certain area, under certain conditions.

If they balk at providing those to you, ask them to send them to your lawyer or CPA for the sole purpose of verifying their claims on the rental amounts.

2: Due to the conditions being inhabitable should I refund the days of rent that was pre-paid (my answer is yes and it ended up being 4 days)?

I am not a lawyer by any means, but from what you describe the primary issue is that property is not zoned for 4 units.

You'll need 4k or so for closing and reserves (since its close to the beginning of the year you'll need to reimburse the owner for their prepaid taxes) and probably dump 5-7k into fixing the place into a rent able condition.

I'll suggest this to my lawyer.

He said he had 20+ houses in the same condition.

However that would be after PITI + Property Management (even if self managed), maintenance reserve (based on property condition, age, location, etc), and other costs such as utilities, landscaping, or applicable association fees.