If he just wants out for no good reason, he could face the lender pursuing a deficiency judgement against him/her if the state permits.

The biggest challenge (and this is what I had to learn the hard way) will be to overcome the decades-long stigma that has plagued the neighborhood and get prospective tenants to sign on.

My challenge is using what I have been taught to determine the offer amount.

Now that my kids are older, I want to be professional about it, have fun(meet challenges), and use it as a way to achieve financial independence.

So now we have a complete breakdown of communication and we're facing a foreclosure with the clock running down.

Last time I did it the utilities required one of their guys on the roof lifting the lines as it moved down the street and each lift was $100.Several would have cleared but the jerk lifted them anyway, with a big smile on his face, hope his limp improves someday.

I disagree about the charging the upfront fee makes a serious buyer.I can't tell you how many scammers I have seen in the commercial lending arena.I can say one problem lenders face is they get a package submitted to them and then give an LOI.Then in due diligence the buyer finds out the income levels and returns were not as stated.Now the lender wants a bigger payment down from the buyer or the buyer has to get the seller to reduce to the actual proven numbers.The deal falls out and the lender made nothing.The way to solve this is submit a detailed and verified package upfront.This way you know the numbers you are sending have been verified.Lenders site confidentiality etc. when doing loans so you can't verify other properties they have closed.If lenders state money has to be in escrow or a deposit have YOUR attorney hold in an account the lender does not have access to or authorization to.This way the money can be shown to be there and earmarked for the purposes of the loan.I am telling you these scammers will do anything to separate you from your money.I know some deals I wasn't involved in where the people chased the lender for 6 months to get back 500k.Do not let lenders PUFF fees.If they say they have to pay for appraisal then tell them you will pay the appraiser directly.If you are a legit lender and you make money when you close a loan you should have no problem with this.If however you are a fee generator mill and you hardly close anything or a point taker with upfront fees I can't tell clients to work with you.Some point takers take money to submit apps knowing the lender will not close or that it's a sham.They usually charge a small amount upfront to entice the victim.Usually 500 to a few thousand.

On 1031's all the exchange companies I talk to say that 1 year is generally held by the IRS to be viable according to case law and rulings for holding for investment purposes.Anything under a year and the IRS is aggressive to challenge the 1031.

That said, it looks like the operating expenses you're assuming aren't too far off.The one big item I'd add into the "expense" category (though technically not an expense in accounting terms) is capital costs -- these are the long-term costs you'll face to keep the property well maintained.

One of the decisions that I had to face was my reason for owning this building.