The owner might be in a position to offer 5 years free if there's no loan on the property.

Don i didnt speculate on the cost of rehab because it could range from 5k to 100k on these houses- the low purchase price gives you a little breathing room. the house prices will stay low here for awhile at least until these houses are bought up and even then, hopefully bought by good investors. regardless though the rents are pretty nice and my places are full and positive. i have a 4 family that nets 900/mo..and there are plenty to be had. i want more haha!

Plus, the positive cash flow would be decent in the meantime.

I have been renting this house for 3 years - whole time with positive cash flow and zero vacancy.

I realize verbal agreements mean nothing, but it did leave us feeling very positive that we would get the signed contract.

Rob, I agree with you in prime MSA's in California condo's are attractive as they represent a lower barrier of entry into ownership and typically allows for potential positive cash flow.

My current position with the Federal Government in Afghanistan won't allow me to do a strategic bankruptcy as they monitor my creditworthiness in relationship to the security clearance I hold.

.) - 50% down payment - 7% INTEREST ONLY - 5 year balloon payment - 3% loan fee plus closing costs - taxes & insurance are not escrowedRent ratios run 1.2% - 1.4%I am not a fan of the 7% interest only portion of the deal and at these costs, I believe I could actually purchase the property outright, earn the return over 5 years and be in a position to purchase another with cash.

If NCF is positive for a property, it is added to your income, if it's negative it's added to your debt payments.For your new subject property, since you have experience, they should take the market rent as determined by the appraiser, multiply it by 75%, then subtract PITI to arrive at NCF.

I didn't see anything that would make a great case for you but I think your position is clear.