The claim of all their family members getting sick and that they experience  symptoms the moment they step in the house and they can feel it in the air is pure bs. 

I personally think this deal sounds great (going purely from the numbers) because you have a real value add opportunity if you are buying on actuals. 

Pure and simple, the real deal, no hype.

It will probably take me about 5 years to get my money back, but after that it's all pure profit.

That is BS pure and simple.

Yes, like many have said everything is partly speculative but flipping(rehabbing) is not pure speculative, nor 70% or whatever was stated.Speculation:(Encarta dictionary)1. opinion based on incomplete information: a conclusion, theory, or opinion based on incomplete facts or information 2. reasoning based on incomplete information: reasoning based on incomplete facts or informationmere speculation 3. risky transaction: a financial transaction that involves risk, but is potentially profitablea failed speculation on a dot-com 4. making of risky transactions: the practice of engaging in financial transactions that are risky, but potentially profitableThe later two is the better of the four definitions, in this instance rentals and flips have the same amount of speculative nature.

You may even detect a bit of sarcasm between the words; though it is meant purely and seriously.If it is a hobby, you may approach it cavalierly.

You're mind should change from having to spend money on marketing to how can I spend my money wisely.My first year using banditsigns cost me $7,600 and I brought in $54,000 in pure cash.

Building on what Wheatie said, using your more specific financing assumptions ($5K down, 6.3%, 30 years), along with the 50% rule, you get the following:Gross rent: $470Expense percent: 50%Expenses: $235NOI:$235Payment: $209Cash flow: $31+/monthSo, that's $369/year cash flow, which at least is positive in terms of pure cash flow, but let's calculate the returns:Cash-on-Cash: $369/$5000 = 7.38%Total Return (w/equity accrual) = 15.04%So, not a great return, but maybe not as bad as was originally portrayed; keep in mind that this doesn't include closing costs, which would reduce your return by a percent or two).

You might as well pick something for a degree that will help your ultimate career choice OR something that is just purely for fun.If you are a real sadist, you could get an actuarial science degree.