Operating expenses are closer to 40% including professional management.  

@Patrick Britton like I say, it depends on the contractor you use, I do all of my own rehabs, and I can get a gut done including the roof for about 65k.

He is willing to sign a 5 year lease with me, I do renovations and then I can rent it out until the 5 years are up (I plan to include a buyout clause if he changes his mind) He gets the home renovated, I get into real estate without having to buy a home right now.

For example: Individuals, C Corps (including RIC's, and REIT's), Partnerships, Common Trust Funds, Qualified Settlement Funds, Disputed Ownership Funds, etc.3.

Also, it's imperative to check all plumbing and electrical, including smoke/CO detectors.  

My wife and I had to put down about $2,500 total cost after the new homebuyers' assistance program, whih ended up being 1% down, including fees.

The hml is for $50k which includes 30k rehab expense.

What else should the contract include?

Oh yeah, we also renovated every square inch, including a new roof, HVAC, hot water heater, windows, waterproofed the basement, What was the outcome?

I complete the full house sale contract with the addendum, and take a substantial earnest money.I include that the earnest money is non-refundable in the event that the lease expires.