I agree with your analysis except the 10% cap rate, this property fully leased would deserve closer to a 7% cap rate given it's location (median incomes are around the $100k mark) - so accordingly, it should be worth around $222k purely as an investment but as I stated the value of this property to an owner occupant is $330k with some cosmetic improvements.The taxes are definitely a problem but that is where unlocking the value comes in.

http://www.usatoday.com/story/money/business/2012/10/09/house-flipping-revival/1622429/The article states the average flip is around $29,000 in profit, but I did find it strange that in markets that the median houses are only selling for $190-200k, they said the average profit was over $55k+?

I use the median value for rents as well to stay conservative.As far as rehabs, I estimate everything as if its a retail flip, even if I go in knowing the exit strategy should be rent.

I noticed there was a "household" dust mask and than a "painter's" mask that was slightly more expensive.

To put things into perspective, the median home price in Valencia is around $385,000 compared to $2,395,000 in Beverly Hills.

I have seen it mentioned here to select zip codes that are at 2/3 of the median price for an area, and presumably zip code screens cost less than AVM's using a polygon drawn on an area map.

Below are some quick highlights about the site: Corner at lighted intersectionApproximately 65,000 AADT on SR-60212,000 people and over $76,000 average household income within a 5-mile radius Approximately 1.02 acre site with 290 feet of frontage on SR-60Less than 1 mile from Brandon Regional Hospital Surrounded by national retailersThanks!

Households with income of at least $100,000 jumped by 91 percent.Of course, with progress comes rising home values.

IE the least expensive rentable home in a given MSA  will not perform as one that is bought at the median of all price points.

I see median home price in Orlando area at at $181k.