You made extremely novice mistakes.

As someone who is extremely active in the Atlanta market, my piece of advice would be to work on perfecting your deal analysis in terms of speed and efficiency.

@Laura MacDonaldAgree with Adrienne, sounds like you have been an EXTREMELY successful flipper in the past.

Given how extreme the ratio of price to rent ratio is in the bay area, does it even make sense to buy our own house?

A few things made us extremely wary.

@Alex Craig  understood its a natural progression I think for folks.. as they move up the food chain.. plus you see it on BP  there is extreme interest in Multi...

For those unfamiliar, Toronto is an extremely pricey market.

A lot of investors around here like to see 8% return, even including an assumed loan on the down payment.As far as the tenant expenses, I agree with others that the investor you've consulted either has extremely low quality housing, or is picking extremely low quality tenants.  

update on deal: the rent rolls for the property were extremely low ( 6 unit complex gross revenues of 4200) it would have been negative cashflow property and there were long term contracts ( any where from 6 to 10 years ) in place that we had to honor upon purchase.

When I use the quick estimations from books I have read, we are extremely lower, like $20,000 lower.