It's also possible that turnover costs are higher than normal (college students are likely going to cause more damage).Additionally, market rents could be more sensitive to other inventory on the market.

You can then incorporate these factors into a sensitivity analysis, which will show you all the possibilities (the good, the bad, and ugly) that various combinations of these factors can yield.

Perhaps I'm overly sensitive.

@Daniel DietzYardi is what the "institutional investors" would use to do analysis with IRR, NPV, sensitivity analysis etc.

Come on now.I see you are a carpenter, so you are sensitive to investors looking for economical labor.

They are usually sensitive to neighbor concerns.If they are involved in rehabs of existing commercial it's probably in connection with the total project and sounds like it will probably be a good deal, overall. :)

@Shayla JamesCongrats on the first deal, the second will be so much easier.Since the issue is time sensitive, call the local REIA club president ask them for several wholesaler referrals.Connect and find one experienced in MH who will walk through the deal with you for a piece of the profit.Good luckPaul

I do have high standards which I know will cost more and I'm fine paying for quality service, but also sensitive to repairs that take a long time, expensive turn-overs etc etc.

If you're doing very basic projects where you can fire off the same list of fixtures over and over again, then a PM is fine - you don't need a real 'business'... if you start doing very detailed, very complicated, very sensitive construction work you'll either need a design-build GC...... or.... you'll need to build a design-build company to do that work.Be very clear on this - a GOOD design-build company is NEVER going to want to become beholden to you or any other individual investor.

If you are take a longer horizon and you DRIP (reinvest the dividends) the mREIT over a 11 year period, mREITs (15.59%) will outperform S&P500 (8.63%). mREITs as interest sensitive and I believe the mortgage rates will continue to go down from here, not up in 2019.