✅ No risk, no cash out of pocket✅ You work with, cooperate with, the homeowner instead of negotiating against them✅ No tenants and toilets✅ No maintenance or repairs✅ Short-term deals with sizeable assignment fees✅ Those fees can fund long-term strategies like buy-and-hold or fix-and-flipIf you’re an aspiring investor looking for a low-cash entry point into real estate, Cooperative Assignments are an effective strategy.  

Compared to rehabbing where the asset is already there regardless of the repairs needed.

I ended up putting in $20k for light cosmetic repairs, which then allowed me to bring rents up to market.

- Do you have reserves or access to capital to make repairs/updates to the property?

We were not able to recover any yard damages due to other damages they had left that needed repair, which empted out their security deposit.

@Joe MichaelsI believe the new cap ex starts a 27.5 year clock at the time of repairs.

Also some plumbing repairs were needed but nothing major. 

Updating and repairing.

I would also send the insurance company this same letter and tell them they are going to be responsible for the cleaning and repair cost.

The problem is the buildings are in major need of repair...and because of this, rents are one of the lowest in town.