Because every home has different features, building material quality, and age of materials, (maybe the kitchen was renovated 5 years ago) the value and depreciation can vary greatly.The rule of thumb I've used for easy ACV calculation is if its a frame home depreciate by 1% per year and if its brick then its .5% per year, up to a max of 50% depreciation.

So your best bet will be to just call and talk to some lenders to find out what they can do for you.

Also familiarize yourself with the bet line project south Fulton and mid town are great markets.

These are 5 attached 3 bedroom townhomes and 4 individual SF homes all on 1 acre of land.Please let me know if I am forgetting anything.Rent: $8,875.00Units: 9Maintenance $1,331.25Vacancy $443.75Property Manager $621.25Insurance $484.47Utilities $150 (calculated at 85% recapture on RUBS for water, gas and electric metered separately)Landscaping $300.00Advertising $73.96Ongoing Capital Expenses $887.50Taxes $702.63Purchase Price $385,000.00Rehab $78,100.00Holding Fees $17,750.00 (2 months rehab, some will rent sooner)Closing Costs $3,500.00Cash out of Pocket $484,350.00Additional ideas for extra income:Pet Rent - $10 per month per pet (the property has a huge green space for pets that I may actually fence in as a "dog park")Appliance Rental - $25 per month for w/d, $15 per month for refrigerator (I actually ran across this idea looking for my son an apartment recently)Property also has a big playground that I may remove -- not sure yet.Please let me know if there are other expenses that I am not calculating (hopefully they are small :))

auch.....6- PlexesRBC offers residential mortages at 80% LTV, so I am considering start with a 6 plex to learn the ropes and later on maybe try a 10Plex.My funds are very limited , so I might have to stay under 500K purchase price.According to my calculations, a 10 Plex with 15% down would give me better returns than a 6 plex with 20%, but if CMHC financing is hard to get, I might have to stick with a 6 Plex.Do you guys know of anything else I should be aware of?

@Scott Sewell it was support I agree 1 bedrooms are less hassle so I am getting paid more for less personal investment but I want to point out that is not just a money/ft calculation, it is the toll it takes on me to deal with the unit.There is more turnover in 1 bedrooms but larger houses seem to follow the school year so when they do go vacant I anticipate less vacancy in one bedrooms.

As others have mentioned, the PMI calculation is .005 for the amount your financing.

I've done my best to start calculating the numbers for properties I'm looking at in my spare time, but I don't feel comfortable making a deal when so many deals appear to be bad on paper.

@Michael SmithBrianna is exactly right - RT4 allows for more units, but I bet at least one is illegal.

BUT you have to have access to quiet money or bank loans... there is hard money for this but your returns will go down to 20% or so if you borrow at too high a rate.I bet you can do this in CA pretty easy to doing infill in the more popular towns. and metro areas.