Property: $42,000 3br/2bath 1104sqft in Wichitahttp://www.zillow.com/homedetails/1224-W-Dooley-St-Wichita-KS-67213/77366358_zpid/24% down = $10,800, 30-yr at $145/monthThe rental range in the area is $531-783/month RENT: $531/monthTAXES: $43/monthMORTGAGE: $145/monthINSURANCE: $73/monthPROPERTY MANAGEMENT: $45/month-------------------------------------------------INCOME: $225/monthI was planning on adding an additional $50/month to the mortgage payment.The rest of the income I would save for any home maintenance.

The inspection period ends this afternoon and by then, I will cancel the contract.I had 2 buyers who were more than interested in the property but needed to see an appraisal.

We were looking at the direction of change over a twenty year period.

If things change buy the rest of the interest and put it the company at that time.

Period.

The final phase is a 3 month trial period after which the lender will send you the final terms for your agreement and signature.

Statistics show that tenants use up to 40% more water when they do not pay for it.Your options are usually to:1.Have the total rent include water,sewer,and trash.2.Sub meter out the units from the water company if they allow it3.Prorate the amount of water usage for the building an bill each tenant.4.Have a company bill them instead of you.5.Have a private company install meters which is cheaper and they bill the tenant for what they use.This avenue you are still responsible to pay the water to the city/county even if you bill the tenant and they do not pay.On lower income housing I see about 60 to 65% pay their water you bill them for every month and the rest you have to chase for the money.You have to pay the water company regardless.The other factor is tenants will let friends was cars with the outside spigot,take showers,do their laundry,etc. and the tenants will also usually not report leaks or drippy faucets as they do not pay for the water.Another thing to look out for is what does the city/county charge for water and sewer rates.If you research a county you might find they have upped the water rates by 50% in the last 6 years.So one county using 1,000 gallons costs you 100 and in another county it costs you 56.You have to really look at how old the water and sewer system is for the city/county etc. and look at all the costs.I can tell you water is the talk of the town with buyers of multifamily.It can just crush your bottom line.

It shouldn't be expected to have a huge econonomic return, but it's a big purchase and nobody I know is buying a home expecting to live there the rest of their lives.

He probably does management 75% of time and other tasks for us with the rest of his time.

The thinking of those Sec 42 projects is that such projects are made available for low income clients only for a period of time and eventually the financing clears and the units can go to market rates and owned by the developer, so the financial incentive is also toward the end, 15 years out for example when the same unit may rent at 1,200 a month.