Owner Pays for heat & water currently.I have included a 30K budget for repairs & Capex.She is asking 900K.Questions..Is this a deal?

If you budget for expenses and vacancy correctly and still have cash flow then fluctuations in the market shouldn't really bother you... if you're relying on equity, a market correction would hurt.Not to mention that people big in asset protection would say you are better off having little equity so there is nothing for someone to try to sue for.Just my $0.02.

I'd budget at least double that number unless you have an actual estimate from your lender that it is going to be more like $3K.I will assume the answer to the who pays for the heat and hot water is the tenants.

- Budget?

This forces you to get used to the concept of budgeting.

One property was listed at $52,900, we offered $49k and they countered back at $50k, and it was an all-cash offer.Especially if it's a newer property and just coming off of First Look they're not going to entertain low ball offers.Again, each market is different but I'd be surprised if they let it go for $60k right off the bat.Keep us posted though because if they're accepting offers that low then we may need to re-evaluate that market!

That's exciting.What area of the city is the property in and what's your rehab budget?

The rehab budget is starting to look more like a 90-100k rehab.  

So it's possible your rehab budget is light, or your ARV is high.I also recommend you try to sell the deal at a local REIA once you have it under contract.

If both units were rented at the new market rate, would you at least break even (Cover expenses plus maintenance budget)?