His loan statement says he owes a payment of $9,000 and to bring the loan current he needs about $19,000.

Your total payments will be significantly less than if the purchase price was 10 or 30% lower but you had a real mortgage.

Then we would take the cash in hand and purchase a primary residence to live in (say ~$50K down payment) and then put a substantial down payment on another buy/hold property to rent out.

PITI: $1,200.5% Down Payment of $163,000 Purchase Price.Property Appraised for $190,000 right out the gate.Originally paid Gas/Water for both units and electric for 1 side, but am in process of switching electric over to new tenant, which should save $140-160/mo.

Ideally the previous owner/manager will have sent a letter letting tenants know the property is closing on X date and the last payment is due to them by Y date.

I am in the process of refinancing one duplex to pull money out for a down payment for this new place.

I got a 30 year mortgage on an out of state investment mortgage, but my income was able to qualify me for the payment.

Also, you'll need to consider the property taxes and the home insurance payments.

I will arrange a meet to get payment to cover cost of screening and take the opportunity to do more in depth personal interview before continuing with screening. 9 times in 10 by the end of that initial interview I will know what the screening results will show.

Also, keep in mind that with a zero percent down loan it can be more difficult to make a deal cash flow... you may still need to come out of pocket for your monthly payment.