I love your strategy, but I also highly recommend asking your lender (when you get a pre approval) to see what your max pre approval is for a 3-4 unit property in the areas you are looking in as well.

Close to Wolf Creek Ski area, and home of Pagosa Hot Springs brings lots of visitors during all seasons.

We are too far from skiing and the like.

I also had to get a pre construction appraisal based on the house plans so the bank could approve the loan.

Pet and pet waste are required to stay under control. as always we do a pre-inspection with video and pictures and have the new tenant sign off on the pre-inspection form.

As you can see, this means your out of pocket will be $7k more.Is there a pre-payment penalty?

I'm not sure if you're asking from a pre-purchase evaluation question or a post purchase accounting question.Pre purchase, the "50% rule" is a reasonable estimate of vacancy, expenses, and capital over the long term for a number of units.

Looking at moving forward with a pre-fab multi-family contruction once the right land is acquired.

It's good to be a little nervous, that means you are learning and growing, and it keeps you in check, so you don't get out over your skis, it's actually good to listen to your body, I'm not saying don't take action, but I'm saying maybe run a stress test on your liquidity to make sure you can weather any storm, I have founding that adding cash to my reserves always helps me sleep better at night.

What do you do when a pre approval letter is required by the realtor but you’re using hard money?