I'm considering making an offer on a property that is listed as a 2 bedroom 1.5 bath as a long term buy and hold property to add to my portfolio. 

Here’s the situation:Purchase Price: $540,000Down Payment: 20%Mortgage Rate: 7.125% (30-year fixed)Monthly Expenses (Mortgage, HOA, Taxes, Insurance): $3,706Realistic Max Rent: $3,000As you can see, I’m currently short $706/month even with max rent.

-Seller Expectations: Ensure the seller knows and understands what to expect regarding terms and timeline-many sellers are unfamiliar with seller financing.

Understanding cash flow and loan terms will help you manage payments.

. - The 4% rule is a helpful benchmark but leaves a LOT to be desired in terms of projecting retirement income from a liquid portfolio.

i have much higher expenses and more headaches of course, but cash flow is higher.most major tier 1 or tier 2 cities should have significant enough rental demand to be able to implement this strategy pretty successfully. 

He intends to turn it into a short term rental. 

@J Lee Have you successfully invested in real estate? 

We successfully set up the co-hosting on Airbnb where I receive the agreed upon 18% + the cleaning fee.

My mother is a RE agent back home in California (30+ years), I have one rental property in Virginia Beach, and I'm mostly interested in BRRRRs, flips, and long/medium-term multifamily properties.