Hello, A family member is preparing to sell her home, and we are trying to decide what would be beneficial for us in purchasing her home, and something equitable for them as well.Here is some of the info:-Wants to list home on the market for $199k,  her realtor said she would get minimum $175k if she did list it. - She owes $90k on the mortgage on the home.

Although it's a strategy that's good for beginners, there are plenty of very experienced RE investors who continue to HH.Plus, if you do decide to do one of the other strategies in the future (such as out of state investing), you'll be much more prepared to do it if you have a HH or two under your belt--a ton of the lessons you'll learn from a HH can be used to successfully execute an out of state investment/BRRR/etc.!

Then the preparation for renting it.

Probably at least 20% or more, this will help cover the unknowns and inflation.The contractor may charge you to prepare an estimate, however look at cost of the estimate like an insurance policy. 

Prepare for market changes as well.

unless you are in a rent controlled area or subject to other limitations, your rent should be at market. if someone has been there 15 years, be prepared to put some money into it but it'll more than pay for itself over the long term once you are at market.

Hello everyone, I am preparing for my first REI venture.

Alison, don't be afraid to work with a tax preparer that's out of state. 

Be prepared to take lots of notes!   

, 3) Have you prepared an ROI analysis, just curious about the results.