Find the best area and buy a below average home and improve it to above average if you are looking for a bang for your buck.

That will tell you if it is a good deal or not by looking at the cap rate.

Either way, don't forget to negotiate the following: Commission Split, Commission Cap, Desk Fee, $ put towards marketing. 

.- PP $1.3MM- 100% occupied- $28.7k/mo gross rent- $9.5k/mo expenses- NOI 230k- 18% CAP (13% using 50% rule)- The management company that currently takes care of the properties manages 800 properties in Macon, GA and have only 3 vacancies.

They shouldn't just bang on the shared wall to get your attention, obviously.

So what you would want to do is take the plastic softener bypass valve off and either cap both lines, or loop them. 

With that said, a little apprehensive of using traditional lending on this flip as the DTI would be skewed and I don't think we would be able to get approved as with our current home and the new rental property our DTI is just about capped at what banks like to see. 

Repairs = $150/monthlyManagement = $145/monthly Cap Ex = $125 Vacancy = I have not struggled with this the same way other investors do.

With luck your market will value them based on cap rates.

Maybe this example will explain the idea better: Comparing owning 4 SFH and 1 4-family, in the first situation you have 4 roofs that can take damage in a bad storm, leaving you on the hook for suddenly dealing with substantial cap-ex expenses across 4 properties.