Here's how I see this deal:Gross rents: $1,200Operating Expenses: $600NOI: $600Mortgage (30 yr, $65K incl. repairs, 7% NOO): $432Cash flow: $168 per month, which is too low for me - I like $100 per unit per month.It does cash flow, but multi-units can require higher than 2% to cash flow properly ($100/unit/month).

My goals are to start with a under 15 units rental and learn and save for a bigger building.I have to go out of state and so I am looking at the Midwest areasI am trying to find a balance between this and a full time job..

What it has done, is created a hardship for honest investors like ourselves.I don't invest in New Mexico so don't know the laws and rules there, but I would ventire to guess you can do them, you just need to make sure you follow the proper protocol.Perhaps some NM investors can chime in.

if thats the case the lender will pay both and you will have an negative escrow account. the lender will then raise your payment until the negative escrow balance has been take care of

I guess my question is; What is a proper plan of action on buying and holding?

With the balance I have after paid my bills, I picked up a copy of XSitePro and had it installed on my Windows XP.I had a picture of what I thought XSitePro was going to be.

Good points everyone - Jon, you touched on something that I think is desperately lacking in the education system, and that is practical "life" knowledge - this especially pertains to financial know-how, even stuff as simple as balancing a checkbook.

I hear what you are saying Mark (includes the balance of your post), but I just don't see how the seller is affected in a short sale situation by the price that is finally accepted by the bank.

And it was deemed that the lease to purchase agreement constituted a partial interest in the property for the lessee.Check with a local attorney for the proper wording to avoid such a situation if you choose the lease route.

I can not properly evaluate your deal with provided NOI.