The numbers are true, made almost 50,000 profit on flips of my own with business partners.

Uh-oh.Seeing comps for the area at $450k, the lender didn’t see the how they could sell it for the profit needed to make it worthwhile.

I -might- purchase one with a VA loan, but that would cut down on profit margin, plus I hate that it adds its own funding fee.

Buy the property, rent it to her at a miniscule profit, she would split maintenance Costs 50-50 when they arise.

Had an inspector tell my contractor he was being hard on us because all we were going to do was sell the house for profit...it was our first house in a particular neighborhood and he had just been rehired so he was on a mission.

We don't have to make 30k in profit because we're planning on holding it for 2-4 years while we live in it.We're on a 203k loan (and we've talked to the listing agent and mortgage broker and both feel we can get the loan done before the sellers bank demands closing) and a 203k wants licensed contractors to do most of the work.So without further ado:Repairs Number of units CostDrywall repair 25/patch x 5 500Tiling in Kitchen 7/sq ft x 84 650Refrigerator 1 2500Dishwasher 1 500Granite counter tops 60/sq ft x 54 3200Oven 1 600Paving the driveway 75/# of square yards 2500Updating 2 bathrooms 2 2000New fencing 200 lin feet 1500New Carpet 400 sq ft 1500OR Hardwood floors 400 sq ft 3000Dumpster 1x2 500Landscaping 3 yards 1000Opening front porch windows300/window x 3 900stone walkway .05 x 5616 sq in 310Paint interior 1800 sq ft 500Labor .5 of total cost 10000 30160Offer on House 45000Rehab amount 30000Total loan amount – down payment 72375Closing costs 4300Down payment loan 2625Upfront Cash needed 6925Monthly payment ~550/monthDo those numbers look anything close to realistic?

Yes there are times when paying market price can be profitable especially for fixer uppers.

Unless there is a strong potential for profit in an 'As Is' land sale move on to a quicker turn around deal.

Return on revenue (or return on sales) is an indication of operating profit margins (NOI/revenue) and has nothing to do with how a deal is financed.For a typical rental, using the 50% rule, your ROR is going to be about 50% (not quite, because things like vacancy and capex aren't expensed, but you get the idea).Now, if you're asking about your ROI or your IRR, those are theoretically infinite, as you are earning a positive return on zero investment (the denominator of the return ratio is zero).

So on a 2 million apartment building you would need 200,000 down payment and about 15k to 20k for closing costs.If you wanted to put in even less you could bring in partners and split up the down payment but you would also be splitting the cash flow and future profits on the back end.