Cash Flow Vs location and quality oppty

[Grant Cardone]

Like to know if your cash flow expectations change When considering location & quality.  

Also when buying do you already have a target Buyer & exit price?

Thanks - GC

[Jeff Bridges]

We consider returns changing along with location just like bond investors do with bonds of different risk profiles. The lower quality areas are cheaper and might cashflow higher but have a higher risk profile to obtain those cashflow figures. Junk bonds have higher rates of return but also have a higher risk of default. Investors need to see what risk profile is most comfortable to them. Who would your target buyer be if you are a long-term buy and hold investor? It's not flipping so thats's 5-10 year out. Exit price is ARV and we absolutely consider ARV because we need to calculate repairs and see how much equity will be gained from the deal after initial investment relative to the market price. you dont want to buy a 100k deal with 20k in repairs needed that is worth 100k. that would be silly.