But balance is key—keeping some cash reserves for unexpected expenses is critical.Lastly, I’d recommend running detailed numbers to ensure the property cash flows well, even with conservative estimates.

If your problems were really caused by an unexpected ac failure (can’t believe your realtor didn’t get seller to throw in a home warranty.) and not lifestyle.

Here's an example why:- One of our people made a mistake last year, and entered an expense of $1500 instead of $150 - they accidently typed an extra "0". - Fortunately, our transparent systems allowed the owner to catch it:)- Full transparency - we would have never caught this honest mistake:(An owner also needs to be involved to approve & fund large expenses: maintenance, property tax & insurance payments (if they want to be more hands off), evictions, etc.A great PMC should also have a chat with you annually about your future plans for a property and your portfolio. 

  $100 a door doesn't help cover the unexpected repairs. 

This deal taught me the true meaning of “expect the unexpected” in real estate!

Covid was something unexpected and the way the sponser deals with it and the communication with the investors is also important to note.

I dealt with evictions, unexpected repairs, and the ups and downs of tenant relationships—but I also made huge strides in improving the property’s value and financial performance.

If an employee calls out sick or quits unexpectedly, you will have to step in to handle the day to day of your business.The amount of work required from you as the owner will depend largely on what services your mat offers.

Using a 401(k) loan reduces your emergency liquidity, which could make the investment riskier if unexpected costs arise.

Handling Unforseen DelaysA clause should address unexpected events beyond human control, including weather-related delays, natural disasters, supply chain disruptions, or unforeseen structural issues.