We used private money and seller finance for acquisition, raised rents, renovated one building, and sold each building separately as 4 unit buildings.

I had to change insurance companies, raise the rent and I used a company called Ownwell to help reduce my property tax.

You could raise your rates by $1 a night if you don't want it to impact your cashflow.As for linens not on beds: imagine a family packing for a vacation and cramming everything in a car, dealing with screaming kids on the trip, dealing with nightmare traffic and finally getting to the place and unpack all the crap. 

Some people fund raise from many different sources too.  

They didn't even raise it the 1.2% to 3.6% (varies by year) allowed by rent control. 

It is also far easier and more cost effective to scale by selling membership interest of an LLC or simply purchasing your real estate in LLC's where you raise money from friend's and family to serve as LP investors.   

If he was raising institutional money he would get destroyed by advisors if he took that approach. 

We just turned a unit and raised it about $200 to match the market.

And often the improvements to be made are raising rents to market.

If i purchased the property and raised the section 8 tenant rents to the FMR, does this have a major effect to the tenant?