Quick checkpoint I like is purchase plus rehab should be inside 85 to 90 percent of ARV on a flip, and you still want enough reserves to cover 6 months of interest and overruns.

Quick checkpoint is pull your neighborhood market rent, then compare it to the current Denver Housing Authority payment standard for the right bedroom count, then back out your tenant portion and see what the total contract rent would actually be after utilities.

A simple checkpoint I use is does the deal still hit a 1.25 DSCR at the refi under stressed rates and a higher exit cap, and is there enough reserves to survive the gap if not.Did they disclose the exact loan terms like LTV, IO period, extensions, and whether there was a rate cap in place, and what DSCR did it underwrite to at maturity day one?

Quick checkpoint I use is if the deal still works at 10 to 15 percent under your ARV and you can show a tight scope plus before and after photos and at least three comps that match bed bath and distance, you are in a safer zone.

Quick checkpoint is whether market rent minus PITI minus management minus maintenance is close to breakeven after the refi, and if it is not you are really betting on appreciation which is a rough first BRRR.

Quick checkpoint is if you haircut income 5 percent and bump expenses 10 percent and you still clear a 1.25 DSCR with real reserves, you are probably underwriting closer to reality.

Most SDIRA compliance is preventative, not retroactive.Source:IRS Internal Revenue Bulletin 2026-012) Deadlines & Key Dates Item Who It Affects Date / Timing Roth catch-up rules fully effective Certain higher-income plan participants January 1, 2026 Annual SDIRA valuation process All SDIRA holders Year-end (FMV reporting) UBTI / Form 990-T review checkpoint IRAs with operating income or leverage Annually (facts-dependent) 3) Alternative Asset SpotlightPrivate Credit & Real-Estate Notes in Self-Directed IRAsWhat this asset class is (education-only):Private credit typically involves direct lending, often secured by real estate or other collateral.

There is REI potential in all countries and situations.Another checkpoint for the future.  

But like any investment, success comes down to knowing your numbers and avoiding common pitfalls.Let’s break it down.The Numbers That Matter MostWhen you’re analyzing a deal, here are the metrics that should guide your decision:Cash Flow: Your rental income should exceed all expenses, even after you factor in the unit you’ll live in.Cash-on-Cash Return: Aim for at least 8–10% return on your invested cash.DSCR (Debt Service Coverage Ratio): Anything above 1.2 means the property easily covers its mortgage.Price Per Door: Compare with similar multifamily units so you’re not overpaying.Cap Rate: The higher, the better—just make sure the risk and location make sense.These checkpoints act like your compass, helping you spot good deals and avoid bad ones.Quick Reference: Summary TableHere’s a handy table you can use when evaluating your first (or next) house hack:Metric/TopicWhat to Aim ForWhy It MattersCash FlowPositive after all expensesEnsures property isn’t draining your savingsCash-on-Cash Return8–10%+ in most marketsMeasures efficiency of your invested capitalDSCR1.2+ idealShows the property can comfortably cover debt paymentsEquity for Refi20%+Required for conventional refinance and to drop PMIAppraisal PrepWell-documented improvementsHelps justify a higher property value during refinanceBeginner Mistakes That Can Sink a DealEven great properties can turn into headaches if you overlook the basics.

That saves him from resetting the loan.Once the reno is done in November, that’s a good checkpoint.