It's interesting that Obie returned a $200K value but they do allow editing so I was able to correct to an amount I feel was midway between principal and replacement value.

DSCR's are "term" loans, which means there's some amount of principal being paid back with all of your loan payments, vs. lines of credit where you're generally only paying interest.

If you are just looking for principal protection assets you can do a lot better than empty houses, if that's what you are doing. 

I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

Additionally, the study should contain 13 principal elements.WHAT ARE THE ELEMENTS INCLUDED IN A COST SEGREGATION STUDY REPORT?

And I'd also be paying off the principal instead of that dump line of credit debt. 

He told me they don't care if the houses make money, only that they more or less hold their principal because what we think of here in the US as volatility is laughable to most of the rest of the world. 

If you've already reached that end - ie if $4 million is enough principal to create residual income that you won't outlive - then I don't see any good reason to be buying out-of-town properties that then have to be managed properly to preserve your investment. 

I don’t know your exact situation, but I expect principal paydown and appreciation to cover the $200 and still give you a nice gain.

Principal paydown is now around $2k/monthTenants are great.