If she pays on time and isn’t a huge pain in the $&@ , I’d just get it repaired for 15$ At a local hardware store and if it happens again take it off the deposit .

All Contractors are subject to the lender’s determination that the contractors are qualified and experienced, have all appropriate credentials required by the state, are financially able to perform the duties necessary to complete the renovation work in a timely manner, and agree to indemnify the borrower for all property losses or damages caused by its employees or subcontractors.Multiple Specialized Contractors: Since this is a limited repair/renovation program, no General Contractor is required.

@Nathan GuyetteThe beauty of real estate is that you can depreciate the property minus the land over 27.5 years, depending on how much you are collecting in rent, you will likely pay little to no taxes after deducting real estate taxes, mortgage interest, deprecation and any repair and expenses.

Through my due diligence I discovered repairs needed and have agreed upon a credit from Seller in the amount of $25,000.

I should also note that she would be willing to give me some time to make the repairs before making a mortgage payment to her....like 60-120 days.

I tend to be more conservative rather than aggressive overall and would prefer to pay cash for updates to the other apts when I fix them up but I have the opportunity to have 3 of the 4 units fixed up within 6 months of buying it if I get a HELOC/personal loan etc for the repairs. 

he said he has 25,000 Into buying the home in 2008 and has made his money back multiple times over since 2008 as a rental but is tired of renters and fixing issues every 6 months or 3 months or year you know the story....so his offer to me was here you take the house I will even throw in 20,000.00 as repairs and updates are needed you ( being me ) do the work and when you are done we have it kisted...he then said he only wants his investment 45,000.00 back at the sale and anything over 45,000.00 is MINE?

Here are some preliminary numbers I ran: 260K FHA no repairs and current rents on left, 300K 203K, reno and higher rents on right: % Down Payment 5.00% 5.00% Down Payment $13,000 $15,000 Remainder of closing costs $3,000.00 $3,000.00 Total Due at Signing $16,000 $18,000            Mortgage Rate 4.60% 4.60% Length of Mortgage in years 30 30 Monthly Mortgage payment $1,266.00 $1,461.00 Taxes $386.00 $445.00 Sewer and Water $50.00 $50.00 Trash $50.00 $50.00 Heat/Utilities $ - $ - PMI $ 180.00 $ 208.00 Cap Ex and Ops $200.00 $200.00 Insurance $65.00 $75.00 Mgmt Fee $165.00 $165.00 Vacancy $132.00 $132.00 Total Expenses $2,494.00 $2,786.00     Unit 1 $500.00 $700.00 Unit 2 $900.00 $1,100.00     Total Revenue $1,400.00 $1,800.00     Cashflow/month ($1,094.00) ($986.00) Cashflow/year ($13,128.00) ($11,832.00) Cash on Cash Return -8.42% -6.57% I have not talked with the seller in detail yet, as I want to see if this is worth a deeper dive first. 

Wes Austin is the owner with Charleston Real Estate Repairs.

A property that is 70-80% of Retail value and then subtract out the repairs.