Thank you I will find all that out.Is there a standard formula to use to figure out the value of the deal?

I'll go ahead and agree with your thoughts here, Matt.

To be safe, go ahead and sign a buyers rep agreement (even if for a short time to cover the duration of the negotiations) That way you know for sure it is not a Sub-Agency.

I even do a pre-move-out inspection just to get an idea of what work will be needed, and to review the move-out requirements such as needing receipt for Professional carpet cleaning, all trash removed from the PROPERTY (not left at curb) and I ensure they are aware of the Holdover rate and that there will be a charge for my time if I show up at the move-out and they are not ready.It is a good idea to review all leases for their end date, and schedule an inspection of the property about 60 days ahead of that so you can determine IF you want to renew them, and at what rate.

. - That is what We Value our service are worth per item and does not reflect on the $699 price and we evem give you 2 examples of how to calculated the formula but I’m sure you skip that part while mentioning this to everyone in this forum.

I don't think there is a formula per se for what you are asking.

Offer them the house on the following terms;$170K sales price$5K down$165K @ 8%, 30 year amortization, 10 year balloon.P&I about $1210/month.If they don't have the $5K, and/or can't handle the PITI, probably at least $1400, then DON'T DO THE DEAL.With the money you're losing at that rent you'll be miles ahead.

The spreadsheet was very basic but it would eliminate the need to write out the formula on paper and then refigure it each time you changed a value.There are only seven variables you can manipulate but the final cashflow value is recalculated with each change.

Another is to never go over:ARV * 70% minus repairs, closing, holding, selling costs.There is no exact formula but you will get very, very close to optimal if you do your homework and identify all the possible costs plus contingencies.John Corey

Thanks Michael for the tips, it is very much appreciated.So it seems like to me to avoid any possible problems with sellers etc.. is to ensure you have solid investors ahead of time.This is a lot of fun and I look forward to really getting into this.