Why I dislike arbitrage

[Ken Latchers]

Why I dislike Arbitrage. Keeping simple. Arbitrage a $200,000 house in average area. You supply furnishings, maintenance and upgrade. Both need STR insurance.

Arbitrage is all the work for part of the money. 

If landlord changes mind, you have a furnished place to deal with.

Any upgrades don't belong to you

You build up no equity. In 15 years, house belongs to me ($200,000)

Average price rise is 3-5%. You make none of that. In 15 years, that a lot of money. If house now worth $300,000 I make simple $20,000 a year on owning house plus appreciation. 

It ain't yours. 

A property is a great inflation hedge. 

You can borrow against equity and get more properties 

Most markets are flooding with airbnb's driving down rates. If mine, I can always rent long term or even do the travel nurse thing. 

When you put down 20%, you are using OPM. You are getting good cash on cash. 

In many areas, local regulations are making harder for non-owners 

In many markets, it is a lot of work for not that much extra money