In any event, I agree you cannot know in advance how a particular market is going to move but sufficient demographic data exists to allow you to make educated guesses about where growth is going to happen. 

That should be sufficient.

A reasonably sufficient amount here is also a safety margin.4) What I can pay for the property initially. 1 - (2+3) = 4Has worked without fail for over 20 years for me

But as a baseline for mid-level design, I'd say $6000 + $2000 per bedroom (not just the bedroom, but this will affect quantity/scale of other items as well) is a realistic amount if you're fairly frugal.

That way if anyone pulls out then I still have sufficient capital to close the deal.

It was a huge lesson learned and now not only do I have sufficient reserves, I handle the money myself.

This is often, IMO, due to the lack of the partieshaving sufficient understanding of the process or where the investor fails to have a better marketing approach, where he feels that he has to say something that is off center simply because he can't explain himself in a positive light.

It depends too on which chapter of bankruptcy is filed.If a refinance was done and is a secured creditor and the bankruptcy orders the property sold and the sale price is not sufficient, the balance may be at risk.

If your management and ability to resolve problems isn't sufficient then insurance kicks in.

In Texas, this may not be sufficient to maintain the company´s liability barrier if the LLC is challenged in court.