These are the numbers I came up with and wanted to make sure I'm assessing it correctly (using the lower numbers).PITI $1,901.14 broken down= $374.30 current taxes $180.00 (roughly for lender placed insurance) $155.55 for back taxes and P.I. $1,191.55Rents $2,100.00+800.00 =2,900.0040% of $2,900.00= $1,160.00$1,450.00+1,160.00 = $2,610.00$2,900.00-$2,610.00 = $290.00 PLUS I think I should be adding back the $374.30 + $180.00 since the taxes and insurance are included in the payment right??

It contains links to the law and the insurance issues you may run in to.https://www.biggerpockets.com/blogs/1028/blog_posts/5926-real-men-love-mold

Check with the title insurance company and have your buyer pay for a title search.

Meanwhile, she would pay for everything (taxes, insurance, maintenance).

If you run the numbers on a very conservative side (10% vacancy, $1,500 taxes & insurance each, 5% cap reserve, 2.5% utilities, 10% repairs) you are looking at a NOI of $16,157.

You have to deal with all the recording fees, title insurance charges, tax prorations, etc.

I also wouldn't necessarily worry about the term other to insure that the payment is well within his means.

If so then here is the cash flow:$14,940 :Annual Rent- $1494 :Vacancy @ 10%$13,446: Gross Income- $1,345: Repairs at 10%- $2,110: Taxes- $1,163: Insurance- $ 336: Utilities @ 2.5% (Covered for vacancy)- $4,953: Total Expenses$ 8,493: Net Operating Income- $8789: Mortgage Payment of $732.38 x 12 Months- $ 296: Before Tax Cash Flow.It is going to cost you $25 out of pocket every month to own this property - that is if everything goes well.

Note that does include taxes and insurance (be sure to get landlord insurance, not homeowners) but doesn't include the P&I part of your payment.

You will want to hire a well recommended, licensed and insured property inspector to make sure the property does not have any major problems.The next step is to look very carefully at the income and expenses to make sure that the property will be a good investment.Another protection is to have Title Insurance on the property.