Detroit 8-9%.In a low risk investment vehicle your delta from expected returns is small, and in a high risk it is larger.

In the most recent past, this margin continued to contract, and the forecast is that office cap rates will rise, and that hotel cap rates, although higher as well, will have a smaller delta over office cap rates, down to sub-100 basis points.Despite lower trading volume, luxury class deals and deals in major markets are getting done.

., depreciation offsets current cash flow and defers income recognition until disposition) and so are the retirement accounts (tax paid in retirement when distributed) so the tax burden on the money you are borrowing is likely not to materialize for many years.The delta between the 9.5% interest rate and 8.3% average return on the existing retirement account would result in more funds in the account if you take out the loan.

Most though made it 6 months to maybe 3 years then moved on.. someone in decent financial shape would be ill advised and crazy to do a sub too UNLESS they were warpping it with an interest rate far higher than the one they had and just wanted to make money on the delta like  a long term note investment My Dad did that back in the high interest rates of the early 80s he would buy at say 5% then sell on terms and the wrap would be at 13 to 18% which was market interest in those days so those worked well also.. 

steps to decide: 1-flush out the cash flows & sales proceeds of both scenarios, discount them based on what % of the return is likely to be realized vs "optimistic"2-find a delta in the cash flow of the risk-adjusted outcomes (pretend these are your most-likely outcomes)3-determine your time investment on the self-managed opportunity4-divide line item 2 by line item 3 and compare against how much income per year / hour your time is roughly worth5-if this figure is less than your desired income, avoid the time commitment investment; and if the figure is more than your income, buy the time commitment if you're wiling to do it.

hypothication works well when you want to make a nice delta..

What's more, an increasing number of routes and airlines, including Delta, Spirit, American Airlines, United, Air Canada, apart from the ones currently operating, have announced their plans to fly into Tulum's new international airport.

Since I’d end up paying retail for the rehab myself because that’s not where my skillset is, my logic is my time is better spent elsewhere and the economies of scale I gain by using a large TK outfit essentially equate the the delta between any “deal” I may get on my own and the amount I’d end up spending as a small “mom-and-pop” investor to a contractor/crew.  

Does the $30k loss cover all closing costs or just delta between purchase and sale?

This is likely going to mean a distressed property meaning a larger rehab and potentially a forced appreciation of an additional bedroom adding an additional story, finishing the basement whatever that might be, but finding that potential is where your delta or margin is going to be between the cash invested and ARV is where the "low risk" is built in for my and my way of thinking.Additionally if you want low risk on the vacancy side of the equation leaning towards multiple units to spread that risk out is always a good play as well.I also think "variety of exit" or flexibility in an exit is another major component to "low risk".