It might also tell you why the high vacancy.ROI looks good, but did you make sure to calculate all expenses like insurance, pest control etc?

She's asking for my insurance info.

Daniel Caraway I don’t know anything about the process, but I have been asked about being a 203k contractor, it is nothing really but fully insured and credible.

I know the loan process would be a lot different since it would be commercial, I wasn’t sure if that would be harder or easier, it would also change the insurance on the property.

Is it wise that I proceed without an addendum or will an E-Mail chain hold up should the repairs not be completed?

This will insure title/permit searches are done properly and updated prior to closing.

So one opportunity you have is to sell your asset and replace it with the same class and type but two properties (or more) and use your net proceeds as down payments. 

Total Insurance Estimate $ 262.50 Current rent $ 800.00 $ 9,600.00 $ 10.40       $ 21.88 Less: vacancy allowance - 10% $ 40.00 $ 480.00         Net Rental Income $ 760.00 $ 9,120.00   Property Taxes 2.5264% $ 505.28 Plus: Other Income $ - $ -         Total Income $ 760.00 $ 9,120.00 $ 9.88                 EXPENSES         Property Management $ - $ -         Repairs & Maintenance $ 100.00 $ 1,200.00         HOA $ 250.00 $ 3,000.00         Advertising & Legal         Insurance $ 167.00 $ 2,004.00 $ 2.17         Total Expenses $ 517.00 $ 6,204.00 $ 6.72                 Net Operating Income (NOI) $ 243.00 $ 2,916.00                 Less Debt Service (PI) $155.06 $ 1,860.72 $ 2.02         Less Property Taxes $ 42.11 $ -                 Net Cashflow $ 45.83 $ 1,055.28                 Operating Expense Ratio 68.0% (Total Expenses/Total Income)               MORTGAGE INFO         Total Loan Amount $ 20,000         Type of Loan Seller Financed         Term (Months) 240         Interest Rate .07         Down Payment $ 2,000 10.00%         Monthly Payment (PITI) $155.06                 Purchase Price $ 75,000         Closing costs $ 3,000         Rehab $ 7,000         Total initial investment $ 85,000                 LTV 27% Loan Amount/Purchase Price         Cap Rate 4% Annual NOI/Price         Cash-on-Cash Return 146% Annual before-tax cash flow (i.e., NOI)/Down payment    

My question is how to determine the proper amount of walls-in insurance to carry. 

I told him the address, then proceeded to the house with gas for the chainsaw.