Here is how I see the deal.Asking Price- 600,000# of units- 13 Gross Operating Income- 71,820less Taxes- 3087 Insurance- 2310Repairs- 6875 (added 25% to estimated price, )Utilities(common area)- 400Misc(pest, snow,landscaping)-2300Net Operating Income 56,848lessMortgage Payments 46,800Cash Flow 10,048Now I will not be offering $600,000 but really wanted to check with some of you experts to make sure I'm not forgetting anything.

Right now you're simply operating on guesswork.she requested to have her security deposit pay off during the first 6 months NEVER allow a tenant to move in without getting the FULL rent (or signed Section 8 contract) and security deposit IN CASH.

I bet you have good pies up there.

Your best bet is to be honest and explain the circumstances.Perhaps you could talk to them in advance before you spend the money and time for the classes.

Eventually, with the nod of the owners of the firm, I partnered up and ran a small operation at the Chicago Mercantile Exchange.

Single bath houses have been "obsolete" since about 1980.Spend a year getting a "real world" (ie; non guru) feel for this house and how your expenses and operation are working.

A prospective Lease-to Purchase was lined up to occupy the home and cover the mortgage payments in many variations of this scheme a portion of the kick back money was supposed to "protect the Investor" some of the bolder operators actually marketed this a a second chance opportunity for the cash rich and credit poor (People with income that was "difficult" to document) The rapidly appreciating markets allowed for substantial "equity spreads" the source of the "kick back money." i.e the FMV is 100K the seller has 45K into the property and would be happy with netting 18K profit, the change goes to paying all the closing costs and a gratuity to the buyer.

Throughout the United States, operating expenses run 45% to 50% of gross rents.

If the numbers work and the market sets the price then a 500k investment for a 2 br/1 then so be it.I agree that location, weather, land availability, and jobs(salaries) all play a roll in the cost of a house.Do I think its crazy to pay that much....you bet.

I was finishing up a career in medicine, running a small ranch with my family, and growing my real estate business into a multifamily focused operation and was buried with tasks.