Asking Price: $145,000 Conventional Loan Terms: 30yr @ 4.75% w/ 25% down payment $575 Gross Rent: 2300/month; 27600/yearly Seller Disclosed Expenses (Unconfirmed): Taxes: 1352 yearly Insurance: 1600 yearly H20 & Sewer: 528 yearly Expenses: Using the 50% rule, or 60% for expenses rule since owner would be responsible for utilities (sewer & water): 2300x 60% = 1380 for expense other than Principle & Interest (P&I) Vacancy @10% = 230 PM @ 10% = 230 Repairs/Improvements@13% = 300 Insurance = 134 (seller disclosed) VS. 160 (estimated) Taxes = 113 (seller disclosed) VS 125 (estimated) Sewer & H20 = 132 (seller disclosed VS 210 (estimated) $1380 - 1255 (My Estimated Expense Total) = $125 P&I Payment and Profit: 2300(Gross Monthly Rent) x 40% = $920 P&I = 575 $100/Door Rule x 4(Fourplex) = $400 $920 - $975 = ( -$55)/month As you may notice, the seller's disclosed expenses vary greatly from my estimated expenses.

They must sen in the utility request turn (sent to you in your signed docs from hud) on sheet with a certified check for $150 to huds property preservation company if they want the water on.

There is also a high water bill that is still being raised which also hurts during vacancies and buy and hold.

The result was an under the sink water leak that went undetected for too long.

If you're not already up on the Biggert-Waters Act you should read up on it and learn how it may affect real estate investments in your area.

If it has a long run the grade has to be just right as to not let the water run off faster than the solids.

Hi All,I'm hoping to get some advice on water rights.

After inspection, termites were found through out the home and since the house sits on bricks, there's issue with no mortar on most of the bricks, slight water in the basement.

I hate to sound cynical, but you probably have a waiting list of tenants because they want to stick you with their heating and hot water costs.

Taking the cheap with repairs route you now know that what is being done is all set and shouldnt be biting your wallet again for quite awhile ( roof, water heater, furnace etc ) To try and ballpark answer your question of : " How much does it normally cost to do the necessary renovations for a "7 000 dollar" house, to make it ready for tenants?"