I am not keen on returning any of this money back to the main tenant as it is very evident that the damage he has caused on the property with a rotating cast of characters and a pet is likely significantly higher than $2000.5) Legal fees and other costs: Can we include a demand for unpaid rent, legal fees, and other costs in the eviction process for our tenant or does this have to be a different suit?

I would list every single item your counting as capex, their useful remaining life and their cost that day.

Honestly, I've been getting screwed with some big ticket issues (related to HOAs, selling different properties, continual unforeseen maintenance and costs) and this one really crushed me once I realized it was an actual issue.

I help manage other investors portfolios and would be happy give out some free advice anytime.

If it’s a completely separate unit in a multifamily, typically tenants are responsible for utilities to streamline your costs as much as possible.

All told, the GP is making $337,500 just to arrange the deal (not including their reimbursement of any out of pocket costs they have already covered: due diligence costs, broker costs if they are paying anyone to bring them deals, legal setup costs, etc).  

Otherwise, we lend on investment properties, so if we couldn't fit it into the 2nd home qualification we'd have solutions.Feel free to connect!

Think of it this way - the 6.00% cap rate is your cost of equity.

The question for seasoned investors is, are mentorships worth their cost, or is doing your own research just as good?  

(see attachment)Before you invest, please feel free to contact me and I will be happy to furnish all of the documentation of this episode, but in the meantime don't trust anything that is not in writing and don't sign any document that allows them to stop paying the interest and/or principal that is owed for any reason.As I am currently preparing a report for the BBB, the CFPB and the FCC, I would also ask if anyone else has had a similar experience; I feel like David vs.