In addition, some loans can have 5 or 10 year terms or not be fixed rate so if rates rise or you need to refi at the wrong time, sorry you lose.7) Overpaying - If you buy a property at too high a price you can cash flow but still lose because when you exit or try and refi you will pay around 5% in many cases to get in and out plus maybe not get your full purchase price out.8) Construction/contractor issues - contractors who take your money, do a poor job, take away too long etc. can cause major losses.9) Buying in the wrong area - If your B area turns into a C or a D the equity values will plummet as will your tenant base .

Check with an attorney or the state MHA for additional guidance on that.

@John ArendsenIn addition his debt to income ratio is not very good but there is plenty of equity.

Let me know if you need anything or have any additional questions.

Also, you can make a stronger offer if you are using cash.In my area, and given the units that I have been considering, this would result in about $100/m additional cash flow after debt service, and assuming 8% vacancy, conservative estimates for taxes and maintenance.

The first number that came up in my head was $15k and a new fence.If I can't subdivide I will keep house and add 1800 sq ft addition and house should be in $680k to 700k max.

Despite the "common hearsay" aluminium wiring can be safe, provided the correct receptacles/fixtures are used, or the ends of runs were properly pigtailed to copper.You definitely want breakers over fuses and you would want to confirm the existing circuits have the capacity to handle today's electrical loads and that there is additional room in each unit's panel.

Yes, it really was that bad.I finally caved and contacted a local plumber who had performed over 15 conversions from Well/Septic to City/Sewer and ironed out a cash deal which cost me less than $6,500 all in.

In addition, I am not sure the mail laws, but I might believe that I cannot pick up or hold someone's mail that isn't mine.What do you guys do in these cases?

If you're considering that you might want to leave the deal then just leave in the inspection contingency, which everyone is aware of, instead of planning on not performing by not signing a contract.