Time for much more or "any" Due Diligence as Gravity ie the 10yr Yield will be much less forgiving.  

Net operating income after renovation divided by (purchase price plus cost to renovate) equals cap rate - let’s call it yield on cost. 

However, if your local market has low returns (high prices, low rent yields), expanding to an out-of-state market with better cash flow might make sense.

Yielding 80K a year for allowing me to use their money to fund the deal for 7 years.

. $46,800/year in cash flow with $500k is a nice yield at 9.36% ($46,800/$500,000).

Whenever a property is under $100k and the 3% won't yield at least $2,500, in most cases, agents will request a flat fee.

When we moved, we turned it into a rental, hoping this would be the start of our real estate journey—something we’d like to continue once my husband retires.Some key details:My husband is active duty and will retire in 3 years.We have one final move coming up this summer to Raleigh, NC.Our current debts are crippling us—the high interest makes it tough to stay afloat every month.The plan I proposed to my husband:Sell the rental property.Use the proceeds to pay off all our debts, set aside emergency funds and a down payment for our next home.Free up $1,500/month from debt payments, and that also can stash in a high-yield savings account.Regain full VA loan entitlement, allowing us to purchase a multifamily home and use the house hacking strategy for up coming move.Avoid capital gains tax, since April marks five years of ownership, and the tenant’s lease ends in May.This wasn’t our original plan, and we hate the idea of using our equity to pay off debt.

By leveraging our expertise in pricing and buyer demand, we identified a deal that required no renovations but still yielded solid returns.

I only include properties at 12%+ yield which is calculated as projected income / asking price.

Here's a breakdown:• Year 1: A $50,000 investment yields a $41,125 gain, bringing the total to $91,125.