I recently sold one (Acquired 2014 for $93k / Improved $35k over the course of 4 years. $25k of which in preparation for sale / Sold June 2018 $233k)Will sell the other condo once the tenant's lease expired,The reasons I sold were:1.)

How do you come up with an interest rate, in my research I found that the interest rate is normally higher than regular 30 year fixed rates but is there a general rule of thumb on how you come up with this?

I actually had a lender approve me for up to 200k but it was FHA and all the fixer uppers were out of the question as they didn't meet FHA rules, and the 3/2s were highly desirable and went well over 200, so I wasn't able to get anything last year. 

Then, once the improvements are 100% completed, and the interest only period is up, the loan will convert to P&I payments for a fixed 5 year period.

@Vincent Incopero Wow thanks for the note - I totally forgot about that 250k gain rule (probably one of the most important things for me to understand as a house hacker)!

Details in MLSUnits: 6Taxes: $5874 (annual)Gross Income: $48,600 ($675 per month)Net Operating Income $38,838Total Expenses: $9762Vacancy Rate: 5%Asking Price: $449KOwner pays Trash & Water______________________________________________________________Based on the expenses I am assuming that the property management is completed by the owner and that they are including ~$4K a year in insurance.I ran the numbers in my own Deal Analyzer and I added:5% of Effective Gross Income as Maintenance Expense 10% of Effective Gross Income as Property Management ExpenseBumped the vacancy rate from 5% to 10%Insurance: $3000 (annual $500 per door)Water: $3240 ($45 per door - typical in city)Trash: $1,800 ($25 per door - complete guess)$12K for improvements ($2k per door)20 year note @ 5% with 20% down (assuming full asking price)2% Closing costs______________________________________________________________My numbers show a Cap Rate of 5.7%, cash on cash return of -5.12% and -$1,668 of annual cash flow. 

I will have to look into the details just in case it makes sense before i completely rule it out.

I worry about only expecting to do few repairs and improvements to a house, and basing my purchase price and renovation budget on that, because there is always surprises and things always cost more.

I would ask for a raise now, and then rehab for $5-6k (Paint & Floors) the coming year and ask for another raise because of the improvements next summer (Hoping to end up at $725-750 next fall).

Many who agree save about 6 months of mortgage payments as a rule of thumb.