Also, I have found errors in my last years tax return and I guess I need to point them out to him?

What are the tax implications for the seller in an owner-financed deal? 

You have assets and you have liabilities.

The net operating income (all expenses + taxes + insurance) of 12k sounds about right if this is an all-cash deal, but if financing is required, which is 25% down + CapEx, that beautiful 12k operating income shrinks down to around to 1.5k operating income which translates into $125 of monthly cashflow, and this is what gives me the 4.5 CoC that I was talking about.

If it's too thin that a property tax or insurance hike takes you too low in cashflow, it might not be worth it.Good luck!

If you pull permits and renovate, both your property taxes and insurance are very likely to increase, causing your cash flow situation to decrease.

PA has some crazy law that if it is from an estate : borrower passed away then the auction bidder/winner is responsible for those taxes on the property which is nuts but the case

The places I was looking at had around 1.5-1.7% prop tax. 

By charging that much, the city was charging an "Illegal tax" so they were violating state law.

Hello investors,What landlord liability Insurance do you use and recommend?