Many believe unrealistic assumptions and often apply those assumptions to the wrong property classes.In our OPINION (always verify yourself!)

My assumption right now is that the tenant moved out at the end of their lease.If that is the case, I would have expected a notification from the PM that they were leaving.I thought maybe they just left without telling the PM, but if that was the case, wouldn't the gov't portion still come? 

Think house hacking makes the most sense starting out - use house hacking and conventional financing and turnkey investments to start out and then shift over to commercial (DSCR loans) for BRRRRs after you have a couple years under your belt and are ready to scaleAlso - be careful of making such assumptions of raises, bonuses etc. over the next couple of years before even starting - things have a way of not always going according to plan (and always smart to be conservative with assumptions). 

I'd echo that 4.59% doesn't exist on DSCR loans at the moment, so my assumption is that this isn't a DSCR program.

I don't want to make any assumptions...but I was thinking that if your ex ever truly loved you she would act in good faith and give you a portion of the proceeds when the time comes because its literally the right thing to do and you are entitled to a portion based on your investment and sweat equity.

If you're that conservative you probably will weed out a ton of deals, though, so if you really want to do this you probably need to be willing to give up your profit (and just make sure you break even) under your worst-case assumptions.

Honestly it’s kind of to some extent gonna be guessing game exactly what your tax rate is gonna be in 3 much less 10 years, repair, vacantcy the same, I think people spend to much time trying to get that exactly right, just underwrite the conservatively across the board (rent,taxes,vacancies,repairs etc) and then even if your off on one of your assumptions,if you’ve underwrote the whole deal conservatively odds are you’ll have made that up somewhere else.

Background checks on tenants are done for a reason:  it is to make the assumption, and properly so, that past performance actually WILL correspond to future results. 

What are assumptions you missed on when making assumptions on vacancy, maintenance or general operating costs?

There are also more intricacies to the underwriting process compared to smaller multifamily, like IRR, annual income and expense growth assumptions, revenue loss factors like loss-to-lease, bad debt, and concession, rental comparable analysis, etc.