Project took too long.

So how do you know that your projected $25K Rehab will cover every possible CapEx item.  

Any sort of shortcut is not to replace a proper analysis and thorough due diligence, but if you're analyzing a ton of deals, a quick a shortcut may be helpful to determine if a deep analysis is warranted.

@Jim Growfer think it's okay to use the 50% rule to quickly gauge NOI and determine if a project is worth deeper analysis. 7% interest is high and yes, that would be a bad deal if you only netted $10k on a $2 million purchase.

Tell us about your project. 

Using 50% as a guide may give you an inaccurate analysis.  

There's also a lot of potential appreciation on the horizon: the city is supposed be building a greenway on the block, there are a lot of construction projects in the neighborhood and a lot of new, high-end condos have recently completed construction a few blocks away.

The entire 2 flat project with an addition at the top took me about a year. 

Just my 2 cents but I always go conservative in my estimates and run an analysis of what needs fixing and how long it will last - heating systems, hw heater, roof, appliances, carpet/flooring, plumbing fixtures etc

I realize too I may not get November rent but I am willing to cut my losses early on and start this project out my way.