As a direct private lender (hard money commercial property) we are able to turn a profitable investment into a VERY profitable investment a couple of time a year by purchasing the existing note form the current lien holder at a substantial discount, rather than pay if off when we originate a refinanced loan.As our most recent example, we purchased a note with a $3.3 million principal balance for $1,775,000., restructured the note providing the borrower a discount to $2,600,000, with a two year balloon, and now are collecting monthly payments on the restructured note.Obviously, we’d much prefer to expand this side of our business.

But they are short-timers...they require furnished housing and their stipends are not substantial. 

@Daphne Wielunska I just found 3 apartments listed for rent in your city on Zillow - all are right in that $2300 range, but all substantially smaller.

Wondering how I'm in a substantially high area...but I go into hospitals around here almost daily and they're not busy....

We also have over the few years that we have been in the workforce have managed to clump up a fairly substantial amount of funds that we all equally put in since we turned sixteen and have accumulated roughly twenty-five thousand dollars from working part time jobs and other odd jobs we did throughout high school. 

Gateway metros also posted a steady comeback, with substantial month-over-month gains: San Jose (3.6 percent), Boston (3.2 percent), New York (3.0 percent), Miami (2.7 percent), San Francisco (1.8 percent), Chicago, Washington, D.C.

Your "small cosmetic rehab" may end up being overly optimistic, and, because the pictured home looks to require substantial capital outlay, this will also factor into lessening your returns initially); and Property Taxes and Insurance(?)

The seller may even be using this as a strategy, knowing that by closing you have incurred substantial time and cost, so are unlikely to back out.Another concern is you mention getting a quote on rehab which implies you are asking this non-responsive tenant to move out.

And in another month or two when that HVAC unit gets repaid and I'm no longer paying that 20% interest rate, then I will be paying SUBSTANTIALLY less than you in interest per month.  

Nothing substantial has changed over the years. 1) Due to depreciation and loss carryovers do I need a CPA base in California?