It would be a big red flag to me if they are doing a lot of volume in this market. https://www.biggerpockets.com/member-blogs/10145/83067-limited-partner-s-guide-to-investing-in-the-right-deal

Such cities tend to have lower prices that rise slowly due to limited demand.

In some very attractive markets like coastal cities I can see it being worth it not to rent the unit or rent it only under very limited circumstances in the low season because the high season is just too lucrative to allow anything to affect those bookings.

Last, you can do an unlimited amount of repairs to a home using a 203k renovation loan (up to the FHA loan limit), including knocking down the house and building a new home!

These loans allow buyers to purchase a property “AS IS, WHERE IS”.Renovation loans are available in 30, 20- and 15-year fixed rate terms and can be used to purchase owner occupied, second home and investment properties.By time the renovations are completed, the home needs to be in move-in, live-in condition and conceptually ready to be resold without repair issues.Other Important Items to Know about “Conventional” Renovation LoansMaximum – Minimum Purchase/Upgrade Amounts:Maximum: Limited to 75% of the “after improved” valueOccupancy: Primary, Second Homes, Investment PropertiesUnits: 1-4 unit propertiesRenovation Term:The renovation term for this program is a maximum of 180 days.The Borrower(s) is responsible for the work being completed within the escrow period.

A balanced market is typically around 6 months of inventory, so a lower number represents a seller's market with limited inventory.——————————————————————————————————📢 Second Largest In-N-Out Burger ConfirmedIn-N-Out is bringing a retro vibe to the Strip!

This allows you to invest in another property while maintaining the asset.Alternatively, a 1031 exchange lets you defer capital gains taxes by reinvesting in higher-yielding or diversified properties. 1031 has limitations.

They do not just stop paying because there is a door knob loss, or a smoke detector missing a battery. 

Rates are usually 10%+ and they’re limited 70%ish LTV.

For instance, things like death, divorce, job loss, natural disasters, heath issues, etc may cause you to change your plans unexpectedly and may change what you do with your home as a result.