The key difference between the two is that IRR requires modeling an exit, and for inexperienced investors, that one major assumption, years in the future, has an outsized impact on IRR, which is less than ideal.

It did not need major work because it had already been rehabbed but not complete.

These deals are all somewhat time-sensitive and they are off the market so not much (if any) competition at the moment.Currently, I am a senior in college going for a double major in accounting and finance and plan on going for my MBA, sitting for the CMA and CPA, so I would like to think that I can handle the financial responsibilities.

What that lender above was talking about is government loan rules:  FHA/Fannie/Freddie/USDA/VA....those are the majority of loans written in the US and that's what most banks will offer.

Majority of folks around here would do anything to be in your position. 

While I acknowledge that economic strength is just one facet of a good rental market, it is a major factor and I wanted to share what I've found (the details of my methodology and raw data can be found after the various rankings):Top 10 best economiesProvo-Orem, UTSalt Lake City, UTCharlotte-Concord-Gastonia, NC-SCChicago-Naperville-Elgin, IL-IN-WIDallas-Fort Worth-Arlington, TXKansas City, MO-KSLongview, TXLouisville/Jefferson County, KY-INSan Francisco-Oakland-Hayward, CABirmingham-Hoover, ALThere were two main factors to overall economic strength that I looked at – how diverse/broad the economy is and how many economic drivers (i.e. strength) the area has.

I am looking to invest in the Buffalo market in the next few months, and I’m wondering how to go about finding where the majority of local investors are buying and which pockets of the cIty are most conducive to cash flow.

What: 1) 3 story, appx 2200 sqft apartment building built in late 1880's, all boarded up needing a major gut rehab (# of bed/bath are unknown) 2) lot right next to the above building (don't have the measure yet but it's small, appx. 0.2 acre or possible under )Purchase Prices, ARVs, and asking prices (provided by the potential partner): Potential partner got both of them as is off of a private auction at below prices: 1) building: auction purchase 700k; ARV of 1.3M; asking to sell at 900k 2) lot : auction purchase 300k; ARV of up to 1M; asking to sell at 300k Proposed Partnership: She is funding 90% of the deal through her private lender so she needs to put down $100k of her own cash and she is asking me to put down $50k with profit split of 25:75.

Less that you would spend on gas and insurance only.Don’t buy lunch for work - we have food in office or I bring something I bought for cheap in supermarket in advance.The major saver - living with roommates this alone saves me probably 1000 a month.

No major issues.