People perceive that making money in real estate was easy 10 years ago because rents and prices have gone up so much.

From what I understand, banks tend to avoid financing properties with SRO units due to the perceived higher risk (inconsistent cash flow, transient tenants, zoning issues, etc.).

Although communication makes an owner feel good, especially when an owner wants answers immediately, it does little for their bottom line if you don't have the other two (Integrity and Execution).I think all the PMs here agree, however, that there is no quicker way to piss off an owner than leave them hanging when they perceive* an emergency.

When you just estimate a percentage based upon your perceived thoughts you’re risking a huge disaster.

Investor Consequences: Limited Financing Options: Lenders may be more cautious and offer lower loan-to-value (LTV) ratios or higher interest rates on rent-controlled properties, due to perceived risks.

I do think the seller is at risk on perceived  cost however those costs aren’t real if appraised at sales price. 

Upgrades like in-unit laundry, new flooring, or upgraded kitchens can increase perceived value without major investments.Rent out Extra Space→ If possible, look for ways to increase income from the property.

Most people don't take us up on this alternative because of the perceived risk to them should the sale become complicated but the ones that do almost always come out ahead. 

To me, it's not about the $5 referral fee, it's the perceived value you are offering to them.

However, houses are frequently, almost routinely, removed from the sale process when the borrower makes a catch up payment or two or when the bank perceives some risk to a sale meaning that the property may leave a deficiency.