Bob is attempting to "flip" a property. He is buying a house for $$200,000$ and he is going to finance $85\%$ of the purchase with a $30-$year $7\%$ loan. He is buying this property for investment purposes, i$.$e$.,$ it will be his second house, so instead of living there he will rent it for a monthly rent of $$1,000$ rising $5\%$ per year. He plans to sell this house in three years from now.

He expects that the house will appreciate in value at $5\%$ per year over the first three years and he makes the following projections about his expenses:

Closing costs at purchase $-$$$8,000$

B Broker's commission at sale $-7$ percent

Appraisal fees spent over the holding period $-$$$2,500$

Cosmetic repairs for sale $-$$$3,500$

Maintenance costs $($total for $3$ years of stay$)-$$$10,000$

$>$ Property tax $-1\mathrm{.}2$ percent of the house value a year

Property insurance $-$$$4,500($total for $3$ years of stay$)$

Given the information above, the fact that interest in mortgage payments is tax$-$deductible, the fact that property tax can be used as a deduction from the federal income tax, and the fact that Adam's marginal tax rate is expected to be $30$ percent, compute Adam's expected recovery rate from "flipping." Ignore time value of money.