Can't vouch for the methodology one way or another but makes sense since rentals are less liquid.Ofc how things play out on a specific deal is another story. https://academic.oup.com/qje/article/134/3/1225/5435538?

Just to give you an idea, we have hard scientific data about our Turnkey and the methodologies we implement have scientific results:Avg.

As this is your true actual cash flow this is logical (although i am not sure i would call their methodology to calculate it logical)if it is negative, they consider it a debt obligation and thus it has to get added to the debt part of your DTI. if it is positive then it is added to the income part of your DTI. for a principal residence property: the same calculation is carried out except the PITIA expense is left out and the resulting number is used as your rental income. this is counter intuitive as it is not your actual cash flow at all, your actual cash flow is a lot less than that number, it could very well be negative but what is also counter intuitive is that the PITIA (ie the housing expense of the entire building) is added to the debt part of your DTI.

You will also get deep enough into Appraisal Methodology to Understand How the numbers are derived - which is what you want to know for the SELL.

I'm also looking to learn any other methodologies, tips, tricks, and so forth that I can add to my toolkit.

The more neutral team that did a study with a more thorough methodology found a net positive for the economy.

Or some methodology used to charge it back?

However, its important to think about strategy and methodology, because as basic processes become automated, you begin to see how much more of the entire investment function can be automated.

Using Zillow's data and the same methodology I also get about 2% average using the last 5 years of taxes.

Not following a prescribed qualification methodology can create big problems for you if the prospective tenant you turned down can find someone to take on the case pro bono.