I use some very pessimistic assumptions for the future NOI, cap rate, loan rate and rent growth.

Here are the red flags I see:1) Location: this property is 3 blocks from Lyrewood Ln and next to an apartment complex that could, and probably does, effect marketability2) ROI: The Cap and CoC returns on this deal do not correspond to the age and location of the building and the investment type, IMO.3) Cash Requirement: The deal will tie up $40k in cash for $380 monthly cash flow, assuming all goes as planned.  4) Assumptions: The deal assumes a fixed, 30 year amortization at 4%.  

Is that assumption correct? 

Back in 2009, I based my assumption on how long to hold real estate based on this 18-year cycle theory.

This is a duplex, and my goal here was to find the purchase price that would yield a Cash-on-cash ROI of at least 10%.I have attached a picture of my analysis:Assumptions made during analysis: closing costs: 3.5%, pre-rent holding costs: 2 months worth of income, pre-rent repair cost: 10,000, repair monthly expense: 5% (IF THESE ASSUMPTIONS ARE ILL-ADVISED PLEASE LET ME KNOW!)

@Mike Makkarand @Percy N.Yes, I was referring more to the banking side and not the lending side, but it's easy to make that assumption because 99% of the banking talk on here is about lending.

You're right, an assumption is out of the question.

The developer's fee is quite literally a fee (or "bonus") if you will that is eligible as part of a LIHTC transaction at time of initial closing.You would not be eligible for a developer's fee purely due to a loan assumption.

@Marcus Auerbach Yes, your assumption about my question is about correct lol.

But assumption of the loan doesn't cost you anything.