Hello all,I'm seeking advice on achieving a higher ROI in real estate investments beyond the 1% rule and maintaining around 35% of monthly operational expenses (including Cap-ex, maintenance, property tax, and vacancy).To the best of my knowledge and abilities, the 1% rule with 35% operational expenses seems to be the best I can achieve today.

Hi Maria,When flipping properties, cutting costs on materials can significantly boost your profit margins, however, you always want to maintain a minimum quality so my first advise on how to spend less is to plan the rehab in a way that optimizes the value return you're getting.

Even for a well-maintained SFR I would personally think more like $300-400/month, but a house with 17 people living in it there's going to be way more wear and tear.

This means we have to maintain the aesthetic/character of the structure.

In future deals, I would opt for financing to maintain liquidity and maximize my investment potential across multiple properties.

You CANNOT depreciate the house if it’s for personal use, ONLY if it’s a rental use.So I can still depreciate the house, write off items I buy to furnish the home, maintain the home, and any costs associated with running it as an AirBnB when I am not using it for personal use?  

However the owner had failed to maintain rental licenses on each for the past 9 years.

., the destruction threshold); which Property characteristics the destruction threshold percentage applies to, such as market value, assessed value, replacement cost, or unit count; for Properties with multiple buildings, if the destruction threshold percentage applies to each building, or all buildings as a whole; the replacement cost to rebuild per current requirements for zoning, and land use; the Property’s continued marketability, and economic viability; the amount and type of Borrower-maintained insurance coverage required per Part II, Chapter 5: Property and Liability Insurance, Section 501.02C: Ordinance or Law Insurance; insurance loss proceeds payout, compared to increased rebuilding costs, including from building code changes, Americans with Disabilities Act compliance, and the municipality's local zoning requirements (e.g., green compliance for new buildings, etc.); the sufficiency of estimated insurance proceeds from ordinance or law insurance and other coverages to repay the Mortgage Loan in the event of partial or full casualty, or condemnation; and for a Tier 3 or Tier 4 Mortgage Loan, if requiring execution of the Limited Payment Guaranty (Form 6020.LPG) would mitigate the risk of the as-rebuilt Property not supporting a Tier 2 Mortgage Loan.

These include (but are not limited to);a. a drop dead date for her to refinance and take you off the mortgage (5 years, whatever);b. trigger events for her to refinance regardless of date (birth of child, remarriage, failure to maintain the house physically, cease using house as primary residence, failure to pay insurance or property taxes, no "subject to" sales and etc., etc).and no doubt a host of other things.Then there's your remedy if she fails to keep her end of the bargain, including who gets appreciation, right to possess or maintain, etc.Your credit score is far down the list of concerns

It takes many years of work and experience to become a well known listing agent of choice at scale (and continued good execution to maintain it).