A project that has a 1 year turn around has a different risk factor than a project on a 5 year or 10 year plan because you must endure a whole cycle which is typically 10 years peak to trough.So if you deal with a  mess which this sounds like then the upside has to be HUGE for your time.

All great and good stuff, but do factor in the repeat funding fee.

@Ken Breeze thanks for all the links!

@George P. does that mean you have no problem filling your rentals and so you don't factor that in to your rent? 

The numbers may be great but you need to understand the headache factor involved for you if self manage or how much it would cost you for a property manager to handle.  

View report*This link comes directly from our calculators, based on information input by the member who posted.

If this link doesn't work, just PM for the pdf.

View report*This link comes directly from our calculators, based on information input by the member who posted.I can't get my BRRRR analysis to work although when I run the standard rental property calculator I get decent cash flow.

@Greg KendallThe Capital Gain will be your selling price minus your basis.Your basis = purchase price PLUS capitalized costs (which would include many of the costs incurred to get the property to "in-service" condition...loan origination costs, closings costs) MINUS depreciation taken.And you are correct- the amount you owe is not factored in, although certain loan costs and interest can be either capitalized or expensed.Also @Andrew Reyes brings up a great point- if you intended to sell this property after you had rehabbed and placed a tenant, you may be seen as a flipper and the gain could be taxed as ordinary income.Andrew also mentioned that holding for 2-years will help.

Thanks so much for linking to that thread - it's definitely enlightening!