Educated buyers are only going to purchase a property that can produce a decent return, and that means total revenue minus total costs. 

Its nice of you to help her out, but I've also watched Judge Judy enough to know how this could turn out. lol Obviously you can't sign a lease with her yet, so at this point, I would use the next month to determine if you'd even want her there for an extended period of time.

Any over valued housing article that doesn’t even talk about San Francisco, is obviously a joke. 

2 duplexes (4 units) next to each other same seller. 2 tax IDs,  under $280k total.

My only trouble I'm finding is obviously the job market is much greater in California.

IF they negotiate a total commission of even 2% and their home is listed on the MLS, the buy side commission has to be listed.

@Barbara Teel, I totally agree with Cassi on this one.

.$500,000 Value requires $150,000 + $22,000 Closing Cost so total of $172,000 Down + %5.4 APR 5 ARM + 24 months payments needs to be in the bank account which is approx $73,000At the end of the 5 years, the mortgage will be something around $322,000 so with the appreciation etc if we sell the house around $600,000 which - $172,000 - 322,000 = $106,000 NET max return.But if we go all cash , he can make Approx $225,000 ( total rental income + average appreciation)Or If we do All Renovation + All Cash deal =$550,000 investment in 5-year approx profit will be around $300,000If you'd have the All Cash Funds and if you would locate overseas so you don't have time but you also want to make profit , what would you do in this situation?

Also, from May-Aug. we paid a total of $4,000 in holding cost to cover the HELOC payment.

As a total newbie I may well be wrong, but I chose to approach it from the point of view of where someone like myself would want to live.