This reminds me that I WILL find a way around my obstacle.

Anyway, the story, in a nutshell:We bought our current home ("217") - a semi-detached in a nice neighborhood - in 2009.

I need slightly urgent advice.I placed an offer on a house last week, and now I've had the inspector in as well as one of several contractors to get estimate for needed stuff.I got a great price on the offer I think, the inspector is also a structural engineer and he said he thought it was a great investment property.Issues include:-mold-basement moisture-main roof OK, but some patches needed-front porch roof & detached garage need replacing-boiler bearning bad-radon (4.6)That's all before interior fixes like plaster (from all the roof leaks), new carpets and interior painting.This is my first deal, and while I'm not afraid of all the work involved, The estimates are getting close to my bottom line number.I'm starting to get nervous that the rehab costs will make this unworkable...and I really want it to work.I have been an excel spreadsheet (Property Analysis Buy & Hold) and have plugged in a LOT of numbers, including a rehab number up to 40,000...and the property still gives me a 5% Cash on Cash return, which isn't bad, and a cash flow of anywhere from $100/month for lowball rents to up to $1000+ cash flow for top number rents inline with the area for a nice place.The advice I'm looking for is how to figure my bottom line offer.

That's why I, a DC resident, have investments elsewhere.In the District of Columbia you can probably have better luck finding a two unit house. that could be a townhome with a basement apartment, or a detached house with a second unit (converted garage or the like) or a two flat property than a nice little 3-4 unit place.

My main obstacle to date has been sourcing these deals.

The biggest obstacle lately has been getting water meters to site as in southern cal we still have that drought.

Currently, I closed on a SFR which also has a detached 600sqft garage apartment, with a tenant currently in it.

I'm starting a Property Management Company and I feel like there is a lot of potential to have good cash flow, but there are plenty of obstacles.

Unless it is zone as R1 detached SFH I will not suggest as an investment. 

Let's say it's a single family detached structure, a house.