Great, then this is a standard "contract build", good luck :)

The standard one from the instit. lenders that I've seen thus far say there are no benefits to the borrower, no lease agreement, no side agreements, AND that the borrower would not remain in possession of the property.

Still not a good deal by my standards.

Brian Burke Yes, we've built some medical office, and office buildings, a couple of multi building small office parks, a medical dental clinic (that we sold to the Rancheria - the sale had to actually be read into the Congressional record), some retail/office condos (actually we helped draft the criteria for the City of Redding on those) a residential subdivision, and other houses, etc.

If you are married and filing jointly that doubles to 500k.That is improvements but not standard maintenance, interest that was not deductible.

Would you suggest that I just apply for a standard loan for an investment property and continue to rent all three units?

I'm sure it varies from lender to lender but surely there are some standard guidelines they use?

Kay March: In our lease we explicitly require Tenants to obtain our consent prior top affecting any repairs or alterations to a property ... and in most instances we will insist they use our standard trades/service providers to carry out the work.

Go with either the tried and true 70% rule-of-thumb (and good luck with that in Los Angeles), or the more detailed approach taken by J Scott, or best yet, create a standard spreadsheet with estimates for all your expenses and back out from there.In the end, you’ll get your lunch eaten by using rote formulas without an understanding of either the actual expenses or an accurate way to predict them.

Sorry Sam Converting my metric to standards stumps me at timesI meant a 250 Sqm home isEquivalent to a 2691 sq ft.Ah!