Sounds to me like the landlord has had a bad experience with tenants trashing houses and wants to cover himself/herself in case of losses.

@James Thomas Nakashian Unless you have separate utilities that the tenants can each put in their own name (it doesn't sound like you do), you'll simply need to adjust the rent appropriately for a utilities included apartment.

Sounds interestingWould you mind saying what area has houses for 25k including fixing my what need to be fixed?

Your plan on flipping one for capital and investing is solid but a word of caution: based on price it sounds like it may be in a D area so harder to find quality tenants.

House hacking using an FHA sounds very enticing...

Sorry to the high bidder (who was bidding against nobody -- hardly an auction) but it sounds like the decision here was to re-open the bid and get more money for the plaintiff.

I can't say for sure in terms of your numbers vs. the seller's or whose are accurate, but it sounds like you're doing things harder than necessary, and less accurately.

However it sounds like drug abuse may fall into an illness sort if gray area and if a past conviction for drug abuse alone you may want to look into whether you have other reasons to refuse.

I would refi to a conventional and drop the pmi as it sounds like you got 20% equity position.

With either you should look into good sound isolationYour revenue after debt service doesn't factor in maintenance, capital expenses, vacancy, possible construction cost overruns or delays.