Make home made meals every night.Then you get a tenant threatening to sue you and you can't sleep for nights on end.

I know you think the soil is sufficient due to an infill location surrounded by other properties close by, but I had a same issue in the middle of an infill neighborhood with a lot that had never been built on. 

His/her offer should be accompanied by a strong pre-approval from a lender OR a verification of funds if they are a cash purchaser (confirming they have liquid assets sufficient for the purchase).  

To cash out:- in under 6 months post acquisition you'll need to have purchased the property cash and it's allowed up to 70% of market value up to your acquisition cost- 6-12 months it's allowed up to 75% based on lower of market or acquisition- 12 + months it's based on 75% of market valueThe above assumes conventional financing, you have acceptable fico scores, you have 6 months of reserves or more for your rehab, and your income is sufficient which is too much to get into on a blog response.

And at the end of the day I would rather be living an average life with my wife than be successful financially but have my wife go to sleep every night afraid or concerned that I will have taken us too far.

I had 3 duplexes I wanted to buy and everything looked good in terms of Loan to Value....but I had to accept the fact that those units were too nice for the area and the market rents would not support the purchase price sufficiently.  

The GRM is low (~6).If you were absolutely certain you had sufficient upward room available in the rents (say 15-20%) and you could convince the Vendor to carry an interest only note (2-3yrs) for 50% or more of the purchase price, you could pay a little more .... but I would still want to get the building for <300K.   

Lender's must ensure that there is sufficient cash flow to an owner, if there isn't, the probability of a borrower bailing out goes up, OTH, the owner's cash flow beyond a level that keeps the borrower in the game isn't the goal of any lender.

Specifically gross income means all income from whatever source derived, including (but not limited to) the following items: (look at 2,3,and 5)(1) Compensation for services, including fees, commissions, fringe benefits, and similar items;(2) Gross income derived from business;(3) Gains derived from dealings in property;(4) Interest;(5) Rents;(6) Royalties;(7) Dividends;(8) Alimony and separate maintenance payments;(9) Annuities;(10) Income from life insurance and endowment contracts;(11) Pensions;(12) Income from discharge of indebtedness;(13) Distributive share of partnership gross income;(14) Income in respect of a decedent; and(15) Income from an interest in an estate or trustI am not a lawyer (would not admit it if i were) but I did sleep at a Holiday Inn last night.

Be able to sleep at night and don't worry about what other people think.FYI that is ALOT easier to say than do :)