When estimating, I would want to be conservative with that with the hope of exceeding my estimate.You're approach to rent price also effects your vacancy estimate!

So for example I'm very conservative and don't want any debt on them because I feel this hardens them in case of a severe recession.

., in Okaloosa Island.Here is a summary of our findings from the previous sections:There are two demand hotspots for short-term rentals in Okaloosa Island, with the one located at the southwest of Santa Rosa Blvd exhibiting a higher occupancy rate (69.6%) and a higher average daily rate ($306).The top-performing listings in this area typically feature 2 bedrooms and 2 bathrooms, with 5 out of 8 listings having these exact characteristics.We have analyzed a chart containing the top 100 most common amenities for top-performing listings with 2 bedrooms and 2 bathrooms.The high season extends from March to the end of November, with May and July being the peak months.The average daily rate for a 2-bedroom / 2-bathroom unit in this area throughout the year is $306, with an average daily cleaning fee of $20.Now, assuming we have located in the for-sale market a 2-bedroom / 2-bathroom unit meeting all our criteria, our objective is to run a financial case study to estimate cash-on-cash returns and other relevant parameters.The chart below presents all the inputs for our financial case study:Some observations:We anticipate receiving 40 reviews within a 12-month period, which is a conservative estimate based on our previous analysis.The bookings to review rate has been established at 85%.

I try to be really conservative (especially in my price range bracket at the moment) for any MFU properties since many in Chicago NEED rehab and those repairs can really hinder your cash-on-cash returns in the long run. 

If the building is evaluated at a conservative 10% CAP Rate, the value of the building is increased by $45,000.We’ve found this to be more readily accepted by our residents than simply charging a flat utility fee because it gives the resident more control of their costs.

Prior to the recent rate hikes 0.75% ration produced positive cash flow for virtually every property with conservative underwriting. 

Personally I avoid those deals and look for  passive investments that are more conservatively structured (i.e.

Conservative appreciation, reasonable cash-flow and long-term outlook for the city looks good.

So for this group...no...not even close.Also as a conservative investor, I want my sponsors to have at least real estate cycle experience with little to no money lost.

We did not negotiate a good purchase price; are conservative with the rent; and are learning everything as we go.