A well-maintained property may require less immediate investment.Rental income Potential: Determine how much rental revenue the property may generate.

Hello all,I am a newbie to this site, and wanted some guidance as I navigate potentially buying a 1-1.25 million rental SFH property.

This equity could generate 20-25K in a high-yield savings account annually, but the real estate market's potential appreciation exceeds that amount.

I think the loans automatically drop the PMI when it hits 78% OR if you think the property value has increased (perhaps because you did work to it) then you can get an appraisal and potentially get the PMI dropped sooner.

And potentially look into hiring a real estate attorney who can at first send a letter to the contractor threatening to file suit.

So potentially any DSCR could be assumable.

(FYI- a buy and hold will most likely be negative cashflow onPurchase Purchase -$1mPurchase Costs (appx) - $10kTotal purchase costs - $1,010,000Holding CostsMortgage-$5,662/mthTaxes (estimated at 1.15% annually based on 1m purchase price)-  $958/mthInsurance - $250/mth (could be more these days)Total holding costs per month are around $6,870Assuming the best case scenario of the property needing no maintenance or rehab and a quick turn around of 2 months for listing for sale to close of sale, your holding costs would be $13,740SaleSale Price $1,200,000minus sales costs (~6% -see comments above) $72kNet Sale proceeds - $1,128,000So, in the best, best, best case scenario the #'s are:$1,128,000 (potential sale proceeds)minus costs of$1,010,000 total purchase costs$13,740 holding costsFor a grand total of $104,260 in potential net profit if EVERYTHING goes as planned with NO repair costs and a very quick sale, etc.

I get enough cheap out of state properties to give myself some cash flow, allowing me to afford the mortgage payments on a couple houses around here--keeping some exposure to the Seattle area's potential for appreciation.

The smell from smoking weed isn’t that bad and is mitigated a lot easier than tobacco smoke, but you don’t want anyone growing in your property (often leads to mold, alterations to the property, and potentially expensive damages).

How do those costs affect your potential profit?