Find out too, what compensation the negotiator is charging, as some structure it so the buyer has to pay this fee.

I like the advice to team up with someone to help you thru the initial period.

He has more experience with rentals so I decided to let him take the lead but now he is wanting to charge me a 37.5% of the rent to find the tenants and 5% a month.

Margin space at the top and bottom, sides, font size = pages to be filed with many standard documents = $$$$$$$ Filing feesWhile it does standardize documents, many attorneys may have charges per page = $$$$$Need a copy of filed documents from the Recorder= $$$$$Fees to be charged are often regulated by statute at the state level and is in some places seen as a taxing issue, so they can manipulate an increase by requiring the number of pages to present a deed or assignment for example.

They might still charge PMI but I believe you can get it removed (and therefore, your monthly mortgage payment reduced) after you have paid it for a certain period of time or if the property appreciates enough to have 20% equity (whereas FHA financing does not allow PMI to be removed).

Point too is that most RE types are not going to be qualified to vet qualified investors, if they error it's on them, if their CPA or attorney accepts that liability, you have two legs to stand on.My only other concern is that while these special rules flew threw under a jobs umbrella, RE investments are not real job makers, at least to the extent intended initially.

Offer 3/4 what a commercial service would have charged and then agree on some price slightly higher.Remember as a property owner you always pay for upkeep.

From the quick calculations I just did, which don't come close to the diligence paid by Bill, It would take you 76ish months to recoup your initial investment with the 80/20 rental.Renting at 1500 per month less the $375, your cut is 20.9%, which gives you a gross monthly cash flow of $235.12.

Your odds of closing on the inbound initial call are slim to none, especially if you are planning to keep this at an ARV you desire.

Sometimes they will want to split profits, other times they will charge you monthly interest.