I've been reading David Greene's Long-Distance Real Estate Investing to build some knowledge but I don't want to get stuck in the analysis paralysis phase and would like to take action as soon as possible.I'm mainly looking for small multi-family properties (duplex, triplex, fourplex) to start with and eventually expand towards commercial properties. 

In your calculation did you factor in vacancy, property mgmt, and capex reserves?  

I understand it's a cheap home to purchase, but keep in mind that it's a 2bed, 1 bath and that's a major limiting factor in the future. 

If I read this rightGross Income Reported is $81900Vacancy 5%GIR-Vac @ 5% is $77805NOI $55805From what I can calculate that works out to a 9.71% cap rateWhich puts the est Property Value at $541,867 That's not too far off which is good.With the 50% method and using 10% Vacancy Rate, it drops the value down to $357,862 Gross Income Reported $ 81,900 Vacancy 10% GIR -VAC $ 73,710 NOI $ 36,855 Listed Cap % 9.71 Est Prop Value $ 357,862 Now again my math may be off but I think that you should be somewhere between those 2 numbers on price and of course that will depend on a lot of other factors and how conservative or aggressive you want to be with your numbers. 

@Lateeka Mosley It is possible, but there are several factors involved that can potentially kill the deal.

We look on there for retreads and aged properties to see if the owner would do a big drop from asking that other buyers have forgotten about.It's not our main source for locating properties just a very small piece.

When it comes to multi-family buildings, the biggest factor is the number of units.

While this can be pricey, as long as you factor it into the deal it's just a cost of doing business. 

The cost saving factor is important, and it is the primary reason I support them.

There may be other factors at play here two, but that was the most obvious one I could see on the spreadsheet you shared.