We are in the beginning stages and wanted to utilize our first home as a learning experience.

I don't know if all the above potential deals will materialize but here's the bottomline: Biggerpockets is instrumental in making the above connections happen.

After those calculations I am at 73.3%.From that number I will subtract $2,000 (unless I can estimate better) for taxes, insurance and utilities for 6 months.

As Bill mentioned there is air transmission and material transmissions.

Is there a noted increase in labour and materials cost in the area?

So it would be very strange for a judge to be analyzing the future possibility of a lender utilizing DOS in a breach of contract case where the sale didn't even happen.

Not included are repairs, capital reserves/improvements, vacancy, any owner paid utilities, and management.

If you paid 100K for the property and expended 25K in initial capital improvements, then use 125K as your cost.Going forward, you would put together your operating forecast/budget to include all the typical expenses: utilities, property tax, groundskeeping, admin, marketing, etc along with your allowances for vacancy (8-10%), maintenance (10%), and property management (7-10%).

Clearly big builders squeeze their labor and their materials providers to preserve the bottom line, I think more than small-time contractors do.

These include, but are not necessarily limited to Origination Fees, Bank Fees, Attorney Fees, Title Insurance, Recording Fees, Hazard Insurance, Property Taxes, Transfer Taxes, Commissions, Home Warranties and Utilities.