Vacancies, potential evictions, insurance, repair costs, damages and wear and tear on appliances/carpet/everything else could eat into that $400 well.But $400 a month isn't too bad assuming the repair costs are low and it's a newer house or renovated.

You never know how the sheets will be split between parting partners.Avoid potential issues, hold all major players responsible, enforce terms jointly and severally, take the position to collect amounts due from the most economical path in a timely manner.It's prudent lending practice, failing to do so is poor management identified by regulators for insured institutional lenders if major players are not held responsible.

I have to go through my insurance for the hardwood floors.That is not my only problem.

The majority of strippers are drugged out skanks that put their money up their nose instead of paying their bills.I asked my health insurance agent if there's any occupation he won't insure.

insurance?

@Derek Steinmetz FYI the following is straight from the 92900B that you will sign in an FHA purchase loan: "Do not falsely certify that a property will be used for your primary residence when you are actually going to use it as a rental property""Penalties for Loan Fraud: Federal laws provide severe penalties for fraud, misrepresentation, or conspiracy to influence wrongly the issuance of mortgage insurance by HUD.

I have recently started in the note business and would say you want to verify the collateral with a BPO, get some pictures etc. verify the taxes are paid and title is cleared and the insurance is in place as well as having a lenders title policy (this is often overlooked).I would recommend using a servicer to avoid any Dodd Frank issues and to make sure your note is properly draftedFeel free to send me a PM if you need more information.

I also have spent time as an appraiser, loan officer, and insurance agent.I look forward to getting involved in this great website and learning and contributing a lot.

I have garnered a wealth of information from Bigger Pockets, since I started browsing this site, and the information provided, is all practical, cut to the chase topics - geared towards personal development, as well as giving a hands on approach to investing.My background is in the administrative/clerical field, in addition to have owned and operated a cleaning business for 8 years, then went into the insurance, then medical field.

I'm just applying the 50% rule that says 50% of gross scheduled rents will go to vacancy, expenses (taxes, insurance, routine maintenance, make ready costs, tenant damage in excess of deposits, utilities at least when its vacant, CPA fees, legal fees) and capital (roofs, floors, appliances, furnaces, sewer lines, etc.)