If you are making offers on LISTED property multifamilies then R2 is right, you will NOT get a deal.BUT if you drive around and find multi's with deferred maintenance and vacancy issues and research and contact the owners directly, you CAN find some very good deals.I've bought several smaller apartment complexes and not one of them was listed or even was officially for sale.

if you can't sell it for a year, when you do and add in your negative cashflow + repairs + 2k flipping penalty = pretty good loss if you get stuck with it for awhile, and about break-even if you don't (not including possible vacancy or major repairs).

Signs of distress and vacancy.

I'd want to see some info (proof) about vacancy rates.

To me, this equates to very low risk for RE investments, as I could always cover mortgage payments of vacancies as necessary.My long term goal is to accrue properties that produce enough passive and active income that I can do RE full time and/or only do technology work only because I want to.

.- Activities that would allow you to decrease tenant turnover/vacancies.- Activities that would allow you to reduce operating expenses and increase net operating income.d.

An example would be the various expenses (I have no clue what they will be ahead of time), the whole depreciation section is greek to me, I'm not sure what to expect for sales cost, vacancy rates, appreciation, capital gains tax, vacancy rate, etc.

We put in the full market and then try to get through the year without missing out given vacancies or NSF issues.3.

Rent roll, expenses, vacancies and any deferred maintenance that needs to be taken care of.

The best way to think about it is that you are trying to maximize CASH FLOW and mortgage paydown is just a nice side effect that causes you to cash flow more.One other point: the more money you pump into the property, the more money you risk losing if you ever default on the loan due to hardship expenses, high vacancy rates, or anything else that could come up to deplete your reserves.