Raising equity can be the most challenging aspect of closing a deal.

A lot of universities have students that need mid term housing due to graduation dates, mini semester programs, etc. and I've found if you approach them and offer them a solution to this problem, they are willing to work with you and help send business your way. 

However, in my experience, those who rely exclusively on this strategy can face significant challenges.

I love the town, but I guess that my point is that it has substantial challenges as a full time local.

Challenges?

A friend of mine in Austin once negotiated a partial buy back option when the seller realized they might want back in if the market soared.. from what I read in Bloomberg, that approach can work well if both sides trust each other.If the tenants’ rent covers your carrying costs, that’s a nice cushion, but you still need to clarify that buy back clause.

Additionally, it feels the most appropriate approach for both profiles I described above and allows me to focus on learning one strategy.

However, many DSCR lenders have a minimum loan amount of $100K, which can make it challenging for investors to secure financing for lower-priced properties. 

As we kick off 2025, the real estate market is continuing to evolve, presenting both opportunities and challenges for investors.

Challenges?