Read my posts in this thread from minutes ago:https://www.biggerpockets.com/forums/83/topics/235...As to that deal, you won't have an option, you'll have a sale contract, the seller named his poison by putting requirements for maintenance in an option contract.

From the initial assessment of this property the property expenses are out of balance (i.e. no property management figured, maintenance cost is $500/year, fuel costs of over $4000, along with some other similar items) not to mention some deferred maintenance on the property as well.

I am in Palm Harbor and I use a maintenance company   for ongoing maintenance, and they do roofs, all rehab projects, I have been with them since 2013 when we did a full rehab in Dunedin. 

I would think you would only do calculations based on what you plan to do to the house, but I am curious what others thinkI haven't had to worry about this yet, because my properties thus far are relatively low end homes.

Great insight as I'm licensed and deal with low priced homes with high cash flow.

Eg they borrow at 4% and receive say 7% giving them a profit of 3% for no money down but a little time for the loan app plus the risk associated with repaying the loan if it goes belly up - though with 20% of my cash down the risk is low for them.  

Presumably, your Airbnb rates would need to be a pro-rata daily rate based on the prior rent, which would probably be too low to be worthwhile for a periodic rental.  

My experience is that I can rent a two bed/one bath upstairs apt for $650/month.Mortgage - $300 (assumption is conventional loan...this is variable)Maintenance - $32.5 (5%)Management - $65 (10%)Property Tax - $50Total Expenses - 447.5Net - $252.5Quite honestly, I think I could make these numbers look better (refinance my duplex and get cash out for much less for example), but I'm curious what others think.I should probably state that my goals for right now are horizontal income without too much work.

Probably used him 3-4 times, and this was a referral. 1 closing we had, he didn't catch the tax rate was too low, and we had to pay the city out of pocket.

.-6-units fully rented ( 2-1bdr/1ba, 4-2bdr/1ba)-Sale Price to end buyer = $420K-Yearly rent = $72K-Yearly expenses = $21K (includes taxes, utilities, insurance, garbage, exterior maintenance)-NOI = $51K/yr-CAP Rate (NOI/Price) = 12.14%Please let me know what you think!