I can't speak on how demo is done in certain states but from what I could tell you being a license contractor here in NY and you being in NJ which should not be much difference is do the following steps.1- have them demo and take everything plumbing and electric.2- the only scrap metal you should keep is copper, but also negotiate with the demo grew to reduce some cost if they want the copper, all other scrap metals are not word it.3- has for the electric, just have them leave you 2 plugs because that's all you need until you update all your electrical. mostly all power tools are cordless so I doubt you will blow a fuse and you don't need any light because you work will be done during the day.ALSO NOTE: do not have anybody mess/touch/remove with any electrical panel or any electrical box, leave that for a license electrician to do because thats a big safety issue that could bring a lawsuit if a non-license electrician gets any injury for attempting to do so.

The reason is because closing costs are not(by law) allowed to exceed a certain percentage, and under $35k it automatically does, because most banks closing costs are set.

The answer is, a mortgage payment in 2016 would allow you to take that payment's interest piece in 2016.  

I know this an epic debate for investors but my personal opinion leans towards having a license especially if you in the wholesale business.... puts a layer of disclosure on top of course but allows you to give the property owners some options. 1) "I have investors who are looking for properties like yours that can pay cash and close quickly to solve your problem Mr Seller" or 2) "Just need to sell but don't have an urgent time constraint you say?

Ideally, I would allow him to rent the first month at his current rate and then the following month I would increase him to market.

@Jane Guerreso the credit bureaus will typically not allow individual landlords to report payment data to them without going through an extensive membership process.  

Baring any major unforeseen issues would allow for a bigger profit on a flip.  

The formula is used to determine your Max Allowable Offer or MAO to the seller.  

Unless, you plan correctly with a exit strategy that would allow you to convert with zoning each unit into a condo and thereby selling them one off at condo FMV.

Signing under the personal name allows for piercing of the viel.