Leverage magnifies return. 3) The effort involved in adding an ADU is comparable or larger than a rehab associated with a BRRRR.

This will also make your cash-on-cash return go down.

I'd recommend the spread on the return and your ability to replace damaged items (local vs. not local, strength of your team) be the determining factors in that decision.

Now you're at 11% return.

Cleveland investors often aim for COC returns of 8–12%, so you’re in the right range.Net Cash Flow: $277/month is positive and provides a buffer for unexpected expenses.

Just go through them, select the renovated/closely matching ones, and enter them into a model.Here's my fix & flip model, you can see the comps entered and some quick stats below them: Then I use that comp data to adjust the Sale Price in the model to what I estimate it will be (double check the resale $/sf is in-line with the comps), then adjust the purchase price until I hit my desired return level. 

Hey y'all, I have taken quite a break from these forums but have decided to step back into these by reintroducing myself. I got into the industry in 2014 with a property management job on Lake Ponchatrain in Slidell, ...

Adjust return based on holding time and risk reward.  

If you could pay retail and make a good return, then literally anyone can do it.What you need to do is identify your area.

Very few people are offering a GUARANTEED 7% return.